Franklin Templeton and Hashdex Crypto-Focused Exchange Traded Funds (ETFs) Approved by the United States Securities and Exchange Commission (SEC) on December 19.
According to the SEC notice, the Franklin Crypto Index ETF will be listed on the Cboe BZX exchange. Meanwhile, the US Nasdaq crypto index ETF will be listed on the Nasdaq stock market.
Both ETFs keep Bitcoin in cash
btc
ETH
$3,296.34
giving investors direct exposure to these cryptocurrencies.
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The Franklin ETF is based on the Institutional Digital Asset Indexwhich tracks Bitcoin and Ethereum. On the other hand, the Hashdex ETF uses the Nasdaq Crypto US Settlement Price Index to reflect the value of these digital assets.
The ETF Store President Nate Geraci published in X speculating on how the market might respond to this approval. He wondered whether other companies, such as BlackRock, would follow suit with similar products.
Geraci added that there could be strong demand for these ETFs. He said:
I expect there to be significant demand for these products. Advisors LOVE diversification. Especially in an emerging asset class like cryptocurrencies.
The SEC explained that the The decision was based on updated presentations from both companies.. These filings included detailed rules and safeguards to prevent fraud and protect investors, which met the criteria of the Exchange Act.
Furthermore, the SEC Similarities with other places are considered. bitcoin and Ethereum exchange traded products (ETPs) that have been previously approved.
While the SEC approves the Franklin and Hashdex Bitcoin-Ether ETFs, Grayscale Investments recently filed a proposal to convert its GrayScale Solana Trust (GSOL) into a spot ETF. Why did the company make this decision? Read the full story.
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