The U.S. Securities and Exchange Commission (SEC) has approved spot Bitcoin and Ethereum ETFs by Hashdex and Franklin Templeton. These instruments are aimed at providing institutional access to the two largest digital assets.
The New ETF Products
Two funds have been approved: Hashdex Nasdaq Crypto Index US ETF and Franklin Templeton Crypto Index ETF. The funds are designed for transparency, regulatory compliance, and investor protection.
Features of the Approved ETFs
Franklin Templeton's ETF tracks the Institutional Digital Asset Index, reflecting Bitcoin and Ethereum performance. Hashdex's ETF is linked to the Nasdaq Crypto US Settlement Price Index and initially includes only Bitcoin and Ethereum, with plans to expand the asset list.
Industry Reaction
ETF analyst Eric Balchunas noted that the funds will likely allocate about 80% to Bitcoin and 20% to Ethereum. Nate Geraci, president of The ETF Store, highlighted potential interest from other companies like BlackRock in issuing similar products.
The approval of spot Bitcoin and Ethereum ETFs strengthens institutional investor trust in the crypto market and offers new opportunities for financial advisors.
