Crypto ETFs Get a Boost with New Players

Crypto ETFs are making waves, and a new player has joined the game. 21Shares, a big name in crypto ETPs, has just launched two new ETFs. These aren't just any ETFs—they're the first crypto index products registered under the Investment Company Act of 1940. That's a big deal because most crypto-linked funds in the U. S. are usually riskier and fall under the '33 Act. These new ETFs, the 21Shares FTSE Crypto 10 Index ETF (TTOP) and the 21Shares FTSE Crypto 10 ex-BTC Index ETF (TXBC), offer a simpler, regulated way to invest in a basket of leading digital assets. Think Ethereum, Solana, and Dogecoin. Bitcoin is only in TTOP. Both funds rebalance every quarter to keep up with the fast-changing crypto world. Federico Brokate, the Global Head of Business Development at 21Shares, says clients want an easy, regulated way to get into crypto without the hassle of managing wallets or picking individual tokens. TTOP charges 0. 50% and tracks the top 10 crypto assets globally. TXBC, which excludes Bitcoin, focuses on real-world blockchain applications and charges 0. 65%. 21Shares teamed up with Teucrium Trading to launch these products. Teucrium is known for using the '40 Act structure for commodity-linked funds. This time, 21Shares will achieve exposure indirectly by investing in its own Europe-listed ETPs. But don't expect a Bitcoin-like frenzy right away. Multi-coin funds might take a while to catch on. The market is also a bit choppy, with Bitcoin dipping below $100, 000. Asset managers are racing to launch spot altcoin ETFs, but so far, only two multi-coin index ETFs like these exist under the '33 Act.