21Shares has submitted an S-1 registration statement for the SEI token ETF as part of its strategy to expand its crypto product lineup.
Details on SEI ETF
The ETF named 21Shares SEI will track the CF SEI-Dollar Reference Rate in USD. In the future, the fund may consider staking some of its SEI to generate rewards, though 21Shares has not confirmed this possibility.
Role of Coinbase Custody Trust Company
Coinbase Custody Trust Company will hold investors' assets for the 21Shares ETF. All assets will be stored in cold storage, with private keys remaining offline to prevent theft or loss.
Competition in the SEI ETF Market
With the ETF filing, 21Shares enters a growing competition following Canary Capital's initial application in April and Cboe's similar filing for a staked version of the ETF. Experts believe that ETFs can positively influence the acceptance of cryptocurrencies in broader financial circles.
As 21Shares awaits the SEC's decision, competition in the ETF market continues to grow, with others exploring various product offerings for investors.
