The competition to launch an Avalanche (AVAX) ETF in the U.S. markets is intensifying, with Bitwise joining VanEck and Grayscale in filing with the SEC.
Bitwise and its ETF Model
Bitwise’s proposal stands out for its direct exposure model. According to its SEC filing, the ETF will hold AVAX tokens, allowing investors to bypass the complexities of managing wallets and private keys.
The trust, registered in Delaware, intends to issue and redeem shares in blocks of 10,000, which may be settled in either cash or AVAX. Shares will track the daily CME CF Avalanche–Dollar Reference Rate published by CF Benchmarks.
Coinbase Custody Trust Company will serve as the custodian, safeguarding tokens in cold storage.
VanEck and Grayscale in the Race
VanEck is also in the race, having filed an S-1 with the SEC for its own Avalanche ETF in March 2025, while Nasdaq proposed a rule change in April for the fund listing. Though no final decision has been made, the filing indicates growing confidence in Avalanche as an investable asset.
Grayscale, a dominant player in crypto investment products, is also seeking to convert its existing Avalanche Trust into an ETF. Filed on August 22, 2025, this application proposes trading on Nasdaq with Coinbase Custody as custodian and BNY Mellon as administrator.
Growing Interest in Avalanche Among Institutional Investors
The surge of Avalanche ETF filings reflects a broader shift in institutional focus beyond Bitcoin and Ethereum. As Avalanche’s ecosystem expands—with increasing adoption in DeFi, governance, and staking—asset managers are betting on investor appetite for diversified crypto exposure.
AVAX is currently trading at $29.83, up 1.29% in the past 24 hours. Despite this recovery, the token remains 57.44% below its all-time high, highlighting both opportunities and risks posed to investors.
With multiple heavyweights now competing for SEC approval, the race to launch the first Avalanche ETF underscores the deepening integration of traditional finance with blockchain-based assets. Whether Bitwise, VanEck, or Grayscale emerges first, the eventual approval could signify a pivotal moment for AVAX’s role in institutional portfolios.
