Will the SEC approve VanEck's entry into the growing digital asset investment space?
On January 15, 2025, asset management company VanEck filed for an “on-chain economy” exchange-traded fund with the U.S. Securities and Exchange Commission. Matthew Sigel, VanEck's head of digital asset research, revealed the filing in a now-deleted social media post, highlighting the company's ambitious plans to invest in the fast-growing digital transformation space. revealed.
The proposed ETF aims to allocate at least 80% of its assets to businesses and products within the digital asset ecosystem. These include software developers, mining companies, cryptocurrency exchanges, infrastructure providers, payment companies, and other cryptocurrency-focused companies, collectively referred to as “digital transformation companies.”
Mr. VanEck outlined the strategic selection process for these investments, highlighting fundamental research, market trends, valuations, and each company's role in the broader digital asset ecosystem. The fund will not hold any cryptocurrencies directly, but will invest in digital asset products such as commodity futures contracts.
VanEck’s filing is part of a broader wave of activity in the ETF market on speculation that the regulatory environment could become more favorable for cryptocurrencies under President Donald Trump’s administration. Bitwise Asset Management filed for 10 crypto index fund ETFs in November 2024 that track major cryptocurrencies such as Bitcoin (BTC), Ethereum (ETH), and Solana (SOL).
Last December, WisdomTree joined 21Shares, Canary Capital, and Bitwise in filing an application for an ETF focused on specific digital assets like XRP (XRP). Additionally, Grayscale Investments has petitioned the SEC to convert its existing Solana Trust into an ETF, while REX Financial has announced that its REX Crypto Equity Premium Launched an income ETF.
These moves reflect the financial sector's growing interest in digital assets and expectations for regulatory clarity. As the SEC evaluates these applications, the industry is bracing for potential changes that could reshape institutional and retail access to cryptocurrency investments.
