T. Rowe Price, the 87-year-old investment firm recognized for its mutual funds, is venturing into the crypto space.
On Wednesday, the company submitted an S-1 form with the U.S. Securities and Exchange Commission (SEC) to introduce the T. Rowe Price Active Crypto ETF.
The S-1 is an important regulatory document that indicates a firm’s intention to launch a new product, typically in advance of a public offering. In this instance, the ETF aims to provide investors with active exposure to digital assets, marking a significant change for a company overseeing over $1.8 trillion, primarily through conservative investment options like mutual funds.
“Did not expect it but I understand. There’s going to be a land rush for this sector as well,” Bloomberg Intelligence senior ETF analyst Eric Balchunas remarked Wednesday on X.
However, T. Rowe Price has been expressing interest in crypto for a while. At an ETF conference in Las Vegas earlier this year, Dominic Rizzo, who manages the firm’s technology-focused ETF, suggested that now is an opportune time to consider bitcoin exposure. He compared the cryptocurrency’s value to that of a commodity, noting its close relationship with mining costs.
If approved, the fund would become part of a growing array of crypto-related ETFs aimed at capturing investor interest without offering direct ownership of coins. The active management strategy may also provide fund managers with greater flexibility in addressing volatile market conditions.
