Unlocking the Future of Investment: 21Shares Launches Innovative Crypto Index ETFs

21Shares is stepping into the world of crypto index ETFs, aiming for a speedy approval process. They recently filed for two ETFs that will track the top 10 blockchains, a move experts say could sidestep the usual delays from regulatory agencies.

In a statement from July 18, 21Shares announced its plans. One ETF will follow the top 10 crypto assets, while the other focuses on programmable blockchains beyond Bitcoin.

21Shares is using the Investment Company Act of 1940 for their filings. This approach is quicker than the traditional Security Act of 1933, which can drag on for months. The faster method was also taken by REX-Osprey with their Solana ETF staking filing.

While other crypto ETF proposals, including those from Grayscale and Bitwise, still wait for approval under the 1933 Act, 21Shares is looking to break through the bottleneck. Grayscale’s recent application was approved, but trading is currently paused pending further guidelines from the SEC.

Market analysts suggest that this recent move may be a smart strategy. Nate Geraci of the ETF Store pointed out, “ETF issuers are not waiting around for the SEC to figure things out regarding the crypto ETF framework.”

Federico Brokate, head of U.S. operations at 21Shares, highlighted the growing interest in diversified crypto investments. He mentioned, “Investors are increasingly looking for diversified and easy-to-access ways to participate in the long-term growth of digital assets.” This demand for variety suggests that more investors want ways to engage with the rapidly changing crypto landscape.

Bloomberg reports a 95% chance of approval for index products in the near future. It will be interesting to see how quickly the SEC reacts to 21Shares’s application compared to others awaiting decisions.

As the crypto market evolves, staying informed about these developments is key. The shift towards quicker approval methods could reshape how investors access digital assets in the coming years.

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