NYSE Arca Files to Launch Altcoin-Focused ETF

Fresh Rule‑Change Proposal Seeks Green Light From SEC

A fresh proposal filed by NYSE Arca could soon bring a new kind of cryptocurrency investment product to the U.S. market. In partnership with asset management giant T. Rowe Price, the exchange is seeking regulatory approval to list an actively managed crypto ETF that goes beyond Bitcoin and Ethereum. If approved, the fund would give investors exposure to a mix of top altcoins—like Solana, XRP, Cardano, and more—through a traditional stock exchange, eliminating the need for wallets, private keys, or crypto trading accounts.

What the Fund Would Do: A Broad, Actively‑Managed Crypto Basket

The Fund isn’t a passive single‑asset product but aims for active management. Its objective is to outperform the FTSE Crypto US Listed Index over the long term.

At launch the Fund intends to hold a diversified basket of “Eligible Assets,” which currently include major tokens such as Bitcoin (BTC), Ether (ETH), Solana (SOL), XRP, Cardano (ADA), Avalanche (AVAX), Litecoin (LTC), Polkadot (DOT), Dogecoin (DOGE), Hedera (HBAR), Bitcoin Cash (BCH), Chainlink (LINK), Stellar (XLM), and Shiba Inu (SHIB).

The Fund may hold as few as five, or as many as fifteen, crypto assets at any given time — and is not strictly tied to the index’s weighting. It may over‑ or underweight certain assets, or include crypto outside the index, guided by active selection criteria such as valuations, momentum and fundamental factors.

The idea is to give investors exposure to a diversified crypto portfolio without having to manage wallets, custody, and rebalancing — while potentially delivering better returns than a static, index‑tracking fund.

Risk Controls, Custody and Governance

To ensure safety and regulatory compliance, the Fund will store its crypto holdings with a dedicated crypto custodian. Private keys will be secured under strict controls, preventing unauthorized access or misuse.

When the Fund stakes any crypto (if staking is employed), it will maintain policies to ensure sufficient liquidity to meet redemptions, especially if a large portion of assets becomes illiquid or locked.

Valuation of the crypto holdings — used to compute Net Asset Value (NAV) per share — will rely on reference rates from third‑party price providers, aggregated across multiple platforms. The NAV will be computed daily, aligned with close of trading on the Exchange or 4:00 p.m. E.T.

Why It Matters for Crypto and Traditional Finance

This filing reflects a broader shift in traditional financial markets embracing diversified, regulated crypto investment vehicles. Unlike earlier spot‑crypto ETFs designed for single assets (e.g., Bitcoin), this Fund proposes a multi‑asset, actively managed basket — potentially appealing to institutional investors and diversified‑portfolio allocators seeking crypto exposure with traditional ETF convenience.

If approved, the Fund would offer a streamlined, compliance‑friendly bridge between traditional capital markets and crypto assets, lowering operational friction for investors who prefer not to deal with wallets, exchanges, or self‑custody.

The approach may also set a precedent: showing that active crypto ETFs can meet listing standards under rules originally written for commodity‑based trusts. This could open the door for more innovation — perhaps funds targeting niche themes (smart‑contract tokens, layer‑2s, tokenized real‑assets) while still abiding by exchange and regulatory requirements.

What’s Next

The SEC review period typically spans up to 45 days from publication (or longer if extended), during which comments from market participants and the public may shape the final decision.

If approved, it may take some additional time before shares begin trading — during which documents like the fund’s prospectus, ETF symbol, and listing date will be finalized and disclosed by the sponsor.