Nasdaq Seeks Approval for Grayscale’s Avalanche ETF
Nasdaq has submitted a 19b-4 form too the U.S. Securities and Exchange Commission (SEC) to list Grayscale’s proposed Avalanche spot ETF. If approved, this ETF will allow investors to hold AVAX tokens directly through regular brokerage accounts.
Grayscale’s initiative comes shortly after VanEck filed to launch a similar Avalanche ETF. This trend reflects growing interest from institutions in regulated altcoin investment options.However, the SEC has only approved spot crypto etfs for Bitcoin and Ethereum so far.
the proposed ETF will transform Grayscale’s existing Avalanche Trust, which was initially a private placement in August 2024, into a spot ETF. Coinbase Custody will manage the fund’s assets, while BNY Mellon will handle management and transfers.
Avalanche is a Layer 1 blockchain known for its high transaction speed and scalability. AVAX tokens are used for transactions, staking, and governance. despite a 7% drop in the past 24 hours, AVAX is currently trading around $20.20.
Grayscale’s move follows its push for a Cardano ETF, indicating a broader strategy to bring more altcoins into the regulated ETF market. The SEC’s decision on these filings could pave the way for more crypto ETFs beyond Bitcoin and Ethereum.
