YEREVAN (CoinChapter.com) — VanEck has filed for an Avalanche (AVAX) exchange-traded fund (ETF) with the U.S. Securities and Exchange Commission (SEC). The ETF aims to track the price performance of AVAX, excluding operational costs.
A snippet of the S-1 registration statement was shared on March 14 by James Seyffart, a Bloomberg analyst who tracks crypto ETF developments. He noted that while the AVAX ETF’s registration was known earlier, this marks the first official filing with the SEC.
According to the prospectus, the VanEck Avalanche ETF will hold AVAX directly and use the MarketVector Avalanche Benchmark Rate for valuation. The fund seeks to provide exposure to the AVAX price without requiring investors to hold the cryptocurrency themselves.
AVAX ETF Joins Expanding List of Crypto Funds
Avalanche is the 16th largest cryptocurrency, with a market capitalization of $7.7 billion. Moreover, the blockchain is known for its high transaction speed and Ethereum Virtual Machine (EVM) compatibility. As a result, it is widely used for decentralized applications.
The VanEck AVAX ETF is part of a larger trend of crypto ETF filings. The success of spot Bitcoin ETFs has led to more applications for funds linked to XRP, Solana (SOL), Litecoin (LTC), and Dogecoin (DOGE).
Nine issuers have filed for an XRP ETF, and Franklin Templeton submitted its application on March 11. The SEC delayed its decisions on these ETFs and extended the review period. Eric Balchunas and other analysts believe the SEC could approve some altcoin ETFs later this year.
Crypto ETFs Could Attract Billions in Investment
A JPMorgan report from January estimated that altcoin ETFs could see significant inflows. According to the report, ETFs for SOL and XRP could gather between $3 billion and $8 billion in net assets within their first year.
The SEC has not yet issued approvals for these funds. However, filings continue as investment firms look to expand their crypto ETF offerings. The VanEck AVAX ETF adds to the growing list of proposed crypto investment products awaiting regulatory review.
