Hashdex Amends its Crypto ETF Proposal

Hashdex, an asset management company, has resubmitted an amended application for its proposed exchange-traded fund (ETF) that aims to offer a comprehensive cryptocurrency portfolio. This update, outlined in a regulatory filing on November 25, shows continued progress with the United States Securities and Exchange Commission (SEC), the primary financial regulatory body in the country.

In October, Hashdex had already amended its S-1 filing in response to the SEC’s request for more time to make a decision on the ETF’s trading authorization. The proposed Hashdex Nasdaq Crypto Index US ETF will initially include only Bitcoin (BTC) and Ether (ETH), which are the two assets currently part of the Nasdaq Crypto US Index. However, the ETF may expand to include more cryptocurrencies in the future, as stated in the filing.

Experts in the industry believe that crypto index ETFs are increasingly becoming a significant focus for issuers, following the listing of ETFs holding BTC and ETH earlier this year. Katalin Tischhauser, head of investment research at crypto bank Sygnum, commented that index ETFs are an efficient investment option for investors, comparable to the S&P 500 ETF.

The SEC’s approach to regulating cryptocurrencies seems to be evolving, especially after the US election on November 5, which resulted in Donald Trump winning. Trump has expressed his desire to make the US a leading hub for cryptocurrencies.

In conjunction with this, on November 21, SEC Chair Gary Gensler, known for his strict stance on cryptocurrency regulations, announced his departure from the agency effective January 20, 2025. This decision aligns with Trump’s previous pledge to remove Gensler in order to appease crypto supporters.