Bitwise Asset Management has submitted a proposal to launch an exchange-traded fund that will hold and track the native token of the crypto oracle platform Chainlink.
A filing with the US Securities and Exchange Commission on Tuesday indicates that the fund will operate under the name Bitwise Chainlink ETF, with Coinbase Custody designated as the custodian.
This ETF aims to facilitate in-kind creation and redemption for Chainlink (LINK), enabling investors to buy and sell shares using the LINK token.
Bitwise has not yet revealed the ticker symbol, the exchange where the ETF will be listed, or the fee structure.
This marks the first ETF filing in the US that tracks Chainlink. Bitwise has submitted a Form S-1 for the fund but needs to file additional paperwork, known as Form 19b-4, to initiate the SEC’s approval process.
LINK surges following ETF filing
In the last 24 hours, the price of LINK rose by 4.2% to $24.18, spurred by Bitwise’s filing and a broader market rally, according to CoinGecko.
LINK has experienced an increase of over 4% in the past day following Bitwise’s ETF filing. Source: CoinGecko
LINK has risen over 26% in the past month, although it remains significantly lower than its peak of nearly $53 in May 2021.
Increased focus on altcoin ETFs
The Trump administration has adopted a more favorable stance towards crypto, leading to a surge of filings for various crypto-linked ETFs with the SEC.
Bitwise has found success with its ETFs that follow Bitcoin (BTC) and Ether (ETH), which currently have assets under management of $2.26 billion and $460 million, respectively, according to Farside Investors.
On Saturday, VanEck filed with the SEC to launch an ETF based on JitoSOL, a liquid staking token that offers staking rewards. If approved, it would represent the first ETF in the US allowing investors to engage in digital assets that generate staking rewards.
Related: ETF analyst questions how Canary’s TRUMP fund ‘gets through’
On Friday, Grayscale Investments sought the SEC’s approval to convert its existing Avalanche (AVAX) trust into an ETF.
Simultaneously, Canary Capital has put forward two ETF product offerings this month, including a filing on Tuesday for an ETF that would hold Official Trump (TRUMP), introduced by US President Donald Trump shortly before his inauguration.
The second ETF filing made on Friday for the Canary American-Made Crypto ETF (MRCA) aims to provide exposure to a selection of cryptocurrencies that are created, mined, or operate within the US.
Magazine: Bitcoin is ‘funny internet money’ during a crisis: Tezos co-founder
