Cryptocurrency issuers seem to think anything is possible now that Donald Trump is in office.
Exchange-traded fund issuer Rex Shares and crypto asset manager Osprey Funds on Tuesday filed for a number of crypto-focused exchange traded funds (ETFs), including the Trump ETF, people familiar with the matter reported. filing It was filed with the Securities and Exchange Commission (SEC) on Tuesday.
The ETF will track the price of meme coin TRUMP It was launched by the president himself on Friday.a few days before the inauguration. The coin reached nearly $17 billion in trading volume in the past 24 hours, but declined by nearly 25% in the same period.
First lady Melania Trump has also launched her own token called MELANIA, which is currently trading at around $4. Both tokens are meme coins and therefore have no intrinsic value. Traders simply bet on whether the price of a token will rise or fall.
Therefore, an ETF that tracks that price will not provide any value to buyers.
“This is a sign that issuers are pushing the envelope with the new SEC regime, while also experimenting with novel structures that provide exposure to digital assets in ETF wrappers,” said James Seifert, ETF analyst at Bloomberg Intelligence. “It looks like it's happening,” he said.
The issuer also filed documents to launch an ETF that tracks the price of another meme coin, Dogecoin (DOGE). to his one first executive orderPresident Trump renamed the U.S. Digital Service and established the Department of Government Efficiency. This organization is said to be tasked with streamlining certain government agencies and departments; Website At press time, a photo of Dogecoin's mascot had just been published.
The SEC, led by former Chairman Gary Gensler, has been cautious when approving ETFs that track cryptocurrencies. It took years for issuers to get the green light to launch Spot Bitcoin (BTC) and Spot Ethereum (ETH) ETFs. It is unclear how quickly these latest applications, which also include ETFs tracking BONK (another meme coin), XRP (associated with Ripple), and SOL (a layer 1 blockchain), will be approved.
Eric Balchunas, Senior ETF Analyst, Bloomberg Intelligence called Trump ETF application is 'surreal'.
