Nasdaq has formally submitted a 19b-4 rule change proposal to the U.S. Securities and Exchange Commission (SEC) for a spot SUI exchange-traded fund (ETF) issued by 21Shares. This filing initiates a regulatory review process that could provide traditional investors with regulated exposure to Sui blockchain’s native cryptocurrency.
The proposed ETF would enable investors to gain SUI exposure without direct cryptocurrency ownership, appealing to institutional and retail participants seeking compliant market access. This move reflects growing institutional confidence in Sui’s technological infrastructure following significant capital inflows.
Sui’s blockchain technology, distinguished by its object-centric data model and parallel transaction execution capabilities, has attracted approximately $300 million in global investments. These technical innovations position Sui as a competitive layer-1 blockchain solution within the digital asset ecosystem.
21Shares, an established cryptocurrency ETF issuer, brings specialized regulatory expertise to navigate the SEC approval process. Their involvement signals strong institutional backing for Sui’s long-term potential despite persistent regulatory uncertainties surrounding cryptocurrency investment products.
If approved, the ETF could enhance SUI’s market accessibility, legitimacy, liquidity, and institutional adoption. The SEC’s forthcoming decision will determine whether this novel investment vehicle advances toward market launch.