Freedom Index
Listen to the article
US President Donald Trump’s media conglomerate, Trump Media & Technology Group, has filed paperwork with the United States Securities and Exchange Commission (SEC) for two new exchange-traded funds (ETFs) linked to major cryptocurrencies.
According to a Friday announcement by its Truth Social Funds arm, the company plans to launch the Truth Social Bitcoin (BTC) and Ether (ETH) ETF alongside the Truth Social Cronos (CRO) Yield Maximizer ETF. The filing has not yet taken effect and remains subject to SEC review.
“We plan to provide an investment platform for investors covering multiple aspects of digital and crypto investing with both capital appreciation and income opportunities,” Steve Neamtz, president of Yorkville America Equities, which will act as investment adviser for both funds, said.
The funds would be developed in partnership with crypto exchange Crypto.com, which is expected to provide custody, liquidity and staking services if regulators approve the products. Investors would access the ETFs through the exchange’s broker-dealer, Foris Capital US LLC. Each product is expected to charge a 0.95% management fee.
Related: ETH ETF holders in ‘worse position’ than BTC ETF peers as crypto market looks for bottom
Proposed ETFs to track BTC, ETH and CRO with staking rewards
The Bitcoin and Ether fund aims to track the combined performance of the two largest cryptocurrencies by market capitalization, while also capturing staking rewards generated by Ether. The Cronos Yield Maximizer ETF, meanwhile, is designed to follow the performance of CRO, the native token of Crypto.com’s Cronos blockchain, and include staking income.
Trump Media, best known for operating the Truth Social social network, has increasingly explored cryptocurrency initiatives.
In April last year, Trump Media announced a deal with Crypto.com and Yorkville America Digital to launch a set of “Made in America” ETFs combining digital assets and traditional securities, including sectors such as energy.
In September, the firm also reached a deal with Crypto.com to create a joint treasury entity centered on accumulating the CRO token, beginning with an initial purchase of about 684.4 million CRO worth roughly $105 million through a mix of stock and cash.
Related: Spot Bitcoin ETFs add $167M, nearly erase last week’s outflows
Spot Bitcoin ETFs see weeks of consecutive outflows
Spot Bitcoin ETFs have seen four consecutive weeks of net outflows, with the latest weekly figure showing $360 million in withdrawals, according to data from SoSoValue.
The data also shows volatile but net-negative flows across late January and early February. The largest recent withdrawals included $817.87 million on Jan. 29, $509.70 million on Jan. 30 and $544.94 million on Feb. 4. Positive sessions were smaller, such as inflows of $561.89 million on Feb. 2, $371.15 million on Feb. 6, $166.56 million on Feb. 10 and $145.00 million on Feb. 9, with only $15.20 million entering on Friday.
Big questions: Would Bitcoin survive a 10-year power outage?
Read the full article here
Fact Checker
Verify the accuracy of this article using AI-powered analysis and real-time sources.