Hashdex recently filed with the SEC to expand its Nasdaq Crypto Index US ETF to include more digital assets beyond just Bitcoin and Ethereum. The filing seeks approval to add Solana, Cardano, and XRP under newly adopted generic listing standards, allowing the fund to track the complete composition of the Nasdaq crypto index.
The index weighting for the fund shows that it is currently 72.5% in Bitcoin, 14.8% in Ethereum, 4.3% in Solana, 1.2% in Cardano, and 6.9% in XRP. This move comes after the SEC approved generic listing standards for commodity-based trust shares on major exchanges, including Nasdaq, Cboe, and the New York Stock Exchange, aiming to streamline approval processes for exchange-traded products tied to digital assets.
Hashdex was one of the first issuers to pursue a dual-asset ETF in the crypto industry back in June 2024, with the original filing specifying holdings in Bitcoin, Ethereum, and cash. Bloomberg ETF analyst James Seyffart commented that the combination of Bitcoin and Ethereum “makes a lot of sense.”
The regulatory pathway for expanding the ETF leverages these newly approved generic listing standards, which aim to simplify the approval process for crypto ETPs. While this doesn’t open approval for every type of crypto ETP, it does provide a more efficient pathway for fund managers seeking broader digital asset exposure beyond just Bitcoin and Ethereum.
The outcome of Hashdex’s expansion filing could potentially pave the way for other crypto fund managers to follow suit and seek approval for similar expansions in the future. This move signifies a growing interest in diversifying digital asset portfolios and providing investors with exposure to a wider range of cryptocurrencies.
Overall, this expansion of the Nasdaq Crypto Index US ETF by Hashdex showcases the evolving landscape of digital asset investments and the increasing importance of regulatory compliance in the crypto industry. Investors can now look forward to a more diversified and comprehensive approach to investing in the crypto market through this expanded ETF.