Asset manager 21Shares has submitted filings with the U.S. Securities and Exchange Commission (SEC) seeking approval for two new cryptocurrency exchange-traded funds (ETFs): the 21Shares FTSE Crypto 10 Index ETF and the 21Shares FTSE Crypto 10 ex-BTC Index ETF.
The proposed ETFs aim to track the performance of diversified baskets of major cryptocurrencies. The 21Shares FTSE Crypto 10 Index ETF will seek to mirror an index comprising the top ten cryptocurrencies by market capitalization. The distinct feature of the second proposed fund, the 21Shares FTSE Crypto 10 ex-BTC Index ETF, is its exclusion of Bitcoin, focusing instead on prominent alternative cryptocurrencies (altcoins) such as Ethereum and Solana.
Both filings specify that the ETFs will be structured as funds registered under the Investment Company Act of 1940. This structure is intended to address specific regulatory compliance requirements and potential tax implications critical for attracting U.S. institutional and retail investors seeking regulated access.
This move by 21Shares responds directly to increasing investor demand for accessible and diversified crypto investment vehicles offering diversification beyond single assets. Approval could facilitate broader market liquidity and further institutional involvement in the crypto ecosystem. Notably, the ex-Bitcoin alternative caters to investors wanting exposure to the wider altcoin market, which has demonstrated significant performance potential as evidenced collectively by assets like Ethereum.