Wall Street could soon acquire a new exchange sales fund that brings together the cryptocurrency firm, along with four other funds from cryptocurrency trading and market production company GSR.
The company is considering launching the GSR Digital Asset Treasury Companies ETF, according to a regulatory filing on Wednesday. This will invest in public companies such as Ether (ETH), which owns Bitcoin (BTC) purchasing strategies and Bitmine Immersion Technologies.
The filing, which GSR’s first foray into ETFs, also lists four other funds, including ETH and Crypto Staking.
Crypto Treasury Companies purchase and hold Crypto for the long term. This has become a popular move due to the large amount of money raised. Some people bet on high-risk altcoins to attract investors’ attention.
Crypto Treasury ETF Holdings
GSR said Crypto Treasury ETFs purchase shares in public companies that own crypto, and it appears they are not restricting the fund to companies that hold major tokens such as Bitcoin and ether.
“The Fund invests at least 80% of its net worth (borrowings for investment purposes) in the equity securities of companies holding digital assets of the Ministry of Corporate Treasury under normal market conditions,” reads Filing.
We defined investment potential as “companies that generally maintain the majority of their assets with one or more digital assets,” and specified that ETFs do not have a minimum market capitalization requirement for the company they invest in.
The ETF initially appears to hold “10-15 positions consisting of five to ten issuers.” Examples of finance companies include purchasing SUI (SUI) SUI Group Holdings and holding BNB (BNB) CEA industry.
GSR appears to launch 3 staking ETFs
The filing also details the GSR Ethereum Staking Opportunity ETF, GSR Crypto StakingMax ETF, and GSR Ethereum evered ETF.
Ethereum stake and edgeEdge ETFs use offshore-wide subsidiaries to purchase and bet ETH on behalf of the fund, as they were filed under the so-called “40 Act” which limits what the ETF can hold.
GSR’s Ethereum Staking Fund will also invest in ether staking ETFs based primarily outside the US, but edgeEdge ETFs will use “a proactively managed derivatives strategy designed to enhance yields.”
StakingMax ETFs are also filed under the 40 Act and aim to use offshore subsidiaries to invest in cryptocurrencies and securities “with a particular emphasis on the cryptocurrency and staking strategies of the proof (“POS”).
Bitcoin, Ether and Solana Bundle ETFs can be held directly
The fifth ETF of GSR in filing is the GSR Crypto Core3 ETF, which can track Bitcoin, Ether and Solana and hold tokens directly.
The Core3 ETF was filed under the Securities Act of 1933. This is the same as the extremely popular spot Bitcoin and Ether Exchange Trade products launched last year.
GSR said the ETF “is intended to provide balanced exposure to the three most established digital assets, and “maintains an allocation of about a third of its net worth” to Bitcoin, Ether and Solana, respectively.
GSR filings have also tracked staking people and crypto token groups as Wall Street is trying to gain market exposure as other asset managers launched similar ETFs.
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