State Street teams up with Galaxy, eyeing new ETFs beyond Bitcoin

Brayden Lindrea5 hours agoState Street teams up with Galaxy, eyeing new ETFs beyond BitcoinState Street believes the “next level of growth” will come from investment options offering more than “pure spot” Bitcoin.1422 Total views7 Total sharesListen to article 0:00NewsOwn this piece of crypto historyCollect this article as NFTJoin us on social networksAsset manager State Street Global Advisors has partnered with the crypto investment firm Galaxy Digital to launch new exchange-traded funds that provide exposure to digital assets.

In separate statements, the two investment firms have hinted that these ETFs would expand “beyond” spot Bitcoin (BTC) ETFs.

“Institutional and retail interest in digital assets has surged since the introduction of spot Bitcoin ETFs. However, investors are also seeking exposure to this growing asset class through investment options beyond pure spot bitcoin,” the $4.1 trillion asset manager State Street said in a June 26 statement.“We believe this is where the next level of growth is for the digital asset ecosystem.”Source:Mike Novogratz

It comes as State Street proposed a SPDR Galaxy Digital Asset Ecosystem ETF in a June 26 filing to the United States securities regulator, which would invest in publicly traded digital asset firms.

This could range from crypto exchanges and mining firms to hardware wallet service providers and crypto-focused venture capital firms in the U.S. and abroad.

The fund would also seek to invest in futures and spot ETF products.

State Street also proposed the SPDR Galaxy Emerging Technology Enablers ETF and the Hedged Digital Asset Ecosystem ETF to the Securities and Exchange Commission.

Related:Galaxy Digital uses historic violin NFT to secure loan

“Crypto is slowly but surely becoming a mainstream asset class. Yet another sign here. Bullish,” Viska Digital Assets CEO Dadi Kristjansson said of the news in a June 26 X post.

Nate Geraci, President of the ETF Store, described the development as “noteworthy” but was surprised that State Street didn’t go “all-in” on the spot Bitcoin ETFs and the soon-to-be launched spot Ether (ETH) ETFs.Source: Nate Geraci

State Street Bank and Trust is expected to provide administrative and accounting services for the digital asset ETFs developed by SSGA and Galaxy Digital.

State Street has been in the digital asset space since at least June 2021, when it launched a dedicated digital asset division.

However, SSGA has not been among the recent applicants for spot Bitcoin or Ether ETFs.

United States spot Bitcoin ETFs — issued by some of SSGA biggest competitors — have seen over $14.4 billion in flows since launching five and a half months ago, Farside Investor data shows.

Magazine:Crypto voters are already disrupting the 2024 election — and it’s set to continue# Blockchain# Business# Security# SEC# Adoption# Hardware# Cryptocurrency Exchange# Asset Management# Digital Asset Management# Mike NovogratzAdd reaction