Trump Media & Technology Group has submitted a proposal to launch an exchange-traded fund (ETF) related to Bitcoin and Ethereum. This step also raises questions about potential conflicts of interest.
About the ETF Proposal
The proposed ETF will be named Truth Social Bitcoin and Ethereum ETF and plans to allocate assets as follows: 75% will be invested in Bitcoin and 25% in Ethereum. This will allow investors to access both cryptocurrencies through one financial product.
Who Will Custody the Assets?
Crypto.com has been appointed as the sole custodian for the ETF. The platform will handle prime execution, staking, and liquidity services. The ETF can only commence once the U.S. Securities and Exchange Commission (SEC) approves the registration statement and the necessary rule changes.
Criticism and Concerns
The proposal for the ETF has raised concerns regarding potential conflicts of interest. Critics argue that President Trump’s push for cryptocurrency coincides with his financial projects through his media company. There are worries that mixing politics and personal business interests may adversely affect the fairness of regulations.
The application to launch a Bitcoin and Ethereum ETF by Trump Media highlights the growing interest in cryptocurrencies but also raises serious ethical questions and potential conflicts of interest.
