Crypto News: ProShares Files for Crypto ETF Tracking Bitcoin, Ethereum, XRP, and Solana

ProShares files with SEC for CoinDesk 20 ETF to track Bitcoin, Ethereum, XRP, and Solana via swaps and derivatives.

Asset manager ProShares has filed with the U.S. Securities and Exchange Commission (SEC) to launch a new cryptocurrency ETF. 

The proposed fund, called the ProShares CoinDesk Crypto 20 ETF, would track the CoinDesk 20 Index, which includes leading assets like Bitcoin, Ethereum, XRP, and Solana. The fund is structured to offer exposure through swaps and derivatives, not direct crypto holdings.

ETF to Track CoinDesk 20 Index Without Holding Crypto Directly

According to the SEC filing, the ProShares CoinDesk Crypto 20 ETF will use financial instruments such as swaps and derivatives to mirror the performance of the CoinDesk 20 Index. It will not hold cryptocurrencies directly but will instead use a Cayman Islands subsidiary for some contracts, keeping such exposure within a 25% asset limit.

The CoinDesk 20 Index includes the most traded digital assets by market cap and liquidity, excluding stablecoins, memecoins, and wrapped tokens. ProShares has designed the ETF to offer diversified access to major cryptocurrencies in a regulated format.

The fund focuses on high-market-cap assets, with large weightings for Bitcoin, Ethereum, XRP, and Solana. This mirrors broader institutional preferences for liquidity and risk management across multiple assets.

Rising Competition and Institutional Demand for Crypto ETFs

The ProShares filing comes amid growing interest in diversified crypto investment products.

ProShares was the first in the U.S. to launch a Bitcoin futures ETF in 2021, and it has continued to expand its crypto product lineup. The new fund aims to attract investors looking for regulated exposure to the digital asset market.

Bloomberg ETF analyst Eric Balchunas noted that 155 crypto exchange-traded product (ETP) filings are now active, tracking 35 different digital assets. He projected this number could exceed 200 in the next year, reflecting a competitive landscape among ETF issuers.

VanEck and 21Shares are also adjusting their filings, including ETFs for Solana and Dogecoin, respectively. These filings highlight continued efforts to meet regulatory standards while responding to investor demand.

Broader Market Trends Favor Diversified Crypto Access

The CoinDesk 20 Index is rebalanced quarterly and includes top assets such as Bitcoin, Ethereum, Solana, Cardano, XRP, and Avalanche. The index avoids lower-liquidity assets and focuses on widely used digital currencies.

If approved, the ProShares CoinDesk Crypto 20 ETF would join a growing list of products offering diversified crypto exposure. The structure may allow institutions and traditional investors to include a basket of digital assets in their portfolios without directly handling cryptocurrencies.

This trend aligns with increasing adoption of regulated crypto products as market participants look for secure and compliant entry points into the asset class.

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