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- Bitwise filed for a spot Avalanche ETF with the SEC.
- Coinbase Custody will hold the ETF’s AVAX in cold storage.
- VanEck and Grayscale are pursuing similar AVAX ETF approvals.
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Bitwise has filed for a spot Avalanche (AVAX) ETF with the U.S. Securities and Exchange Commission (SEC), becoming the third major asset manager—after VanEck and Grayscale—to pursue a regulated investment vehicle for AVAX. The move underscores growing institutional interest in expanding crypto ETF offerings beyond Bitcoin and Ethereum.
Direct AVAX Exposure Through Coinbase Custody
According to the filing, the proposed Bitwise Avalanche ETF will hold AVAX directly rather than using derivatives, offering investors pure exposure to the Avalanche network’s native token. The ETF will issue and redeem shares in blocks of 10,000, known as “baskets,” which can be settled in cash or AVAX.
Coinbase Custody Trust Company will serve as custodian, safeguarding the fund’s tokens in segregated cold storage accounts. The ETF’s net asset value will track the CME CF Avalanche–Dollar Reference Rate, published daily by CF Benchmarks. By holding the underlying asset, the ETF removes the need for investors to manage wallets or private keys themselves.
VanEck and Grayscale Also Seek Spot AVAX ETFs
Bitwise is entering a competitive field. VanEck filed for its own spot AVAX ETF in March 2025, with Nasdaq submitting a proposed rule change to allow its listing the following month. Grayscale followed suit in August, seeking to convert its existing Avalanche Trust into a spot ETF, also with Coinbase Custody as custodian and BNY Mellon as administrator.
Also Read: Avalanche (AVAX) Breaks Key Resistance: Bulls Target 20% Rally to $32
While the SEC has yet to approve any AVAX ETF applications, their existence signals rising demand among institutional investors for diversified crypto exposure. AVAX is currently trading around $29.83, still well below its all-time high, reflecting both its recovery potential and inherent volatility.
A New Chapter for Crypto ETFs
Bitwise’s filing marks another step in the maturation of crypto markets, showing that asset managers are broadening their focus beyond Bitcoin and Ethereum. If approved, these ETFs could make it easier for traditional investors to access AVAX, potentially increasing liquidity and mainstream adoption.
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Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
I’m a crypto enthusiast with a background in finance. I’m fascinated by the potential of crypto to disrupt traditional financial systems. I’m always on the lookout for new and innovative projects in the space. I believe that crypto has the potential to create a more equitable and inclusive financial system.
