tl;dr
The US SEC has accepted Trump Media’s application for a Bitcoin and Ethereum ETF, starting its review process. The ETF will offer investors exposure to about 75% Bitcoin and 25% Ether, with shares listed on NYSE Arca and custody managed by Crypto.com. Bitcoin and Ether holdings will be valued daily ...
The US Securities and Exchange Commission (SEC) has accepted Trump Media’s application for a Bitcoin and Ethereum exchange-traded fund (ETF), initiating the agency's review period to approve or reject the proposed fund. This ETF aims to provide investors exposure to Bitcoin (approximately 75%) and Ether (approximately 25%) through shares listed on NYSE Arca, with Bitcoin and Ether backing the shares. Foris DAX Trust Company, trading as Crypto.com, will serve as custodian, while Yorkville America Digital will sponsor the fund.
The ETF will value its Bitcoin holdings daily using the CME CF Bitcoin reference rate, which aggregates trade data from multiple major crypto exchanges. Similarly, its Ether holdings will be evaluated based on the CME CF Ether reference rate, unless the sponsor decides otherwise. Custody measures include keeping Bitcoin and Ether in separate accounts and storing private keys in cold storage, enhancing security for investors. Truth Social initially submitted the necessary S-1 registration form to the SEC for this dual crypto ETF on June 16.
In parallel news, the SEC has delayed its decision on Fidelity’s proposed spot Solana (SOL) ETF, reopening the public comment period with specific deadlines for responses and rebuttals. This delay is consistent with expectations, signaling ongoing regulatory scrutiny. Bloomberg ETF analyst James Seyffart noted that the delay aligns with the SEC’s broader efforts to finalize a digital asset exchange-traded product framework, describing ongoing dialogues between the SEC and issuers as positive signs of regulatory progress, even though these communications do not yet indicate approvals.
Seyffart highlighted that reported requests for issuers of Solana spot ETFs to amend and refile applications by month-end demonstrate the SEC’s active engagement with crypto ETF proposals. He urged observers to interpret these interactions as constructive steps toward a clearer regulatory landscape, fostering a climate of cautious optimism for future crypto exchange-traded products.