Digital asset manager Grayscale Investments has filed a proposal with the SEC for launching a spot Avalanche (AVAX) ETF. The fund aims to attract investors to the asset through traditional brokerage accounts.
ETF Filing and Approval Process
Grayscale submitted a registration statement on Form S-1 to the U.S. Securities and Exchange Commission (SEC) last Friday. According to the filing, shares of the proposed Avalanche Trust would be made available for public sale "as soon as practicable" following the approval date. The filing follows a similar structure as other crypto ETF applications.
Fund Structure and Management
Grayscale has selected Coinbase Custody as the custodian of the fund, while BNY Mellon will handle administrative and transfer agent responsibilities. The preliminary prospectus states that shares of the trust will only be issued and redeemed in blocks of 10,000, referred to as "Baskets." Authorized participants will have the ability to purchase and redeem baskets directly with the trust on an ongoing basis.
Plans for Other ETFs and Grayscale's Future
Alongside the Avalanche ETF plans, Grayscale and mutual fund manager VanEck updated their applications for Solana-based ETFs in early August. If approved by the SEC, these would be the first U.S.-listed Solana spot ETFs.
Grayscale continues to expand its influence in the ETF market with plans surrounding Avalanche and other crypto assets, awaiting SEC approval to commence trading.
