Trump Media Submits SEC Filings for Dual Cryptocurrency ETF Launch Featuring Bitcoin, Ethereum, and Cronos
In a partnership with Crypto.com, Trump Media & Technology Group has submitted SEC documentation for the launch of two cryptocurrency exchange-traded funds focused on Bitcoin, Ethereum, and Cronos, with services including custody, liquidity provision, and staking.
Trump Media & Technology Group, the media enterprise owned by United States President Donald Trump, has submitted regulatory documents to the United States Securities and Exchange Commission (SEC) seeking approval for a pair of exchange-traded funds (ETFs) connected to leading digital currencies.
Based on a Friday statement released through its Truth Social Funds division, the organization intends to introduce the Truth Social Bitcoin (BTC) and Ether (ETH) ETF in addition to the Truth Social Cronos (CRO) Yield Maximizer ETF. The submission awaits effectiveness and is currently undergoing SEC evaluation.
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
The investment vehicles would be created through a collaboration with cryptocurrency platform Crypto.com, which would deliver custody solutions, liquidity provisions and staking capabilities should regulatory authorities grant approval for these financial products. Access to the ETFs for investors would be facilitated via the platform's broker-dealer entity, Foris Capital US LLC. A 0.95% management fee is anticipated for each investment product.
Proposed ETFs to track BTC, ETH and CRO with staking rewards
The Bitcoin and Ether investment fund seeks to monitor the joint market performance of the two most prominent cryptocurrencies measured by market capitalization, simultaneously earning staking yields produced by Ether. The Cronos Yield Maximizer ETF, in contrast, has been structured to mirror the market performance of CRO, the indigenous token powering Crypto.com's Cronos blockchain network, and incorporate staking revenues.
Trump Media, primarily recognized for its operation of the Truth Social social networking platform, has progressively expanded its engagement with cryptocurrency ventures.
In April last year, Trump Media revealed an agreement with Crypto.com and Yorkville America Digital to introduce a collection of "Made in America" ETFs that would blend digital assets with conventional securities, encompassing industries such as energy.
In September, the company also finalized an arrangement with Crypto.com to establish a collaborative treasury structure focused on acquiring the CRO token, commencing with an opening transaction of approximately 684.4 million CRO valued at roughly $105 million through a combination of stock and cash.
Spot Bitcoin ETFs see weeks of consecutive outflows
Spot Bitcoin ETFs have experienced four straight weeks of net capital outflows, with the most recent weekly measurement indicating $360 million in redemptions, based on information from SoSoValue.
The statistics additionally reveal unpredictable yet net-negative capital movements throughout late January and early February. The most substantial recent outflows consisted of $817.87 million on Jan. 29, $509.70 million on Jan. 30 and $544.94 million on Feb. 4. Positive trading sessions demonstrated smaller magnitudes, including 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 merely $15.20 million flowing in on Friday.