Hashdex Asset Management has filed an amendment with the U.S. Securities and Exchange Commission (SEC) to expand the scope of its Nasdaq Crypto Index US ETF. The proposed changes would introduce additional cryptocurrencies, including Litecoin (LTC), XRP, Cardano (ADA), Chainlink (LINK), Avalanche (AVAX), Uniswap (UNI), and Solana (SOL), to the fund’s holdings.
The ETF, which currently holds Bitcoin (BTC) and Ethereum (ETH), aims to provide broader exposure to digital assets through a regulated investment vehicle. The amendment would diversify the fund beyond its predominantly Bitcoin-heavy allocation if approved.
The filing, made under Post-Effective Amendment No. 1 to Form S-1, outlines Hashdex’s intention to alter the ETF’s benchmark pricing index from the Nasdaq Crypto US Settlement Price Index (NCIUSS) to the Nasdaq Crypto Settlement Price Index (NCIS). This shift is intended to better reflect market performance by incorporating a wider range of crypto assets.
The fund is structured to track its benchmark index closely, with periodic adjustments to asset weightings. The proposed amendment aligns with Hashdex’s existing product on the Bermuda Stock Exchange, which already includes multiple altcoins.
By mirroring this strategy, Hashdex seeks to attract institutional and retail investors looking for diversified exposure to the crypto market.
Regulatory Landscape and Investor Considerations
Hashdex’s SEC filing emphasizes compliance with existing U.S. securities laws. The Trust, structured as a Delaware statutory trust, is not registered under the Investment Company Act 1940. Investors will continue to be subject to the risks associated with crypto markets, including price volatility and regulatory uncertainty.
The amendment comes amid growing interest in crypto ETFs as an investment vehicle. Unlike spot cryptocurrency purchases, ETFs provide exposure through traditional brokerage accounts, simplifying compliance and custody concerns.
Hashdex’s proposal may be seen as an effort to position its product competitively in a market where investment firms increasingly seek regulatory approval for diversified crypto ETFs.
If approved, including these altcoins could signal broader institutional acceptance of digital assets beyond Bitcoin and Ethereum. The changes may also lead to increased trading volumes and liquidity for the newly added assets, potentially impacting their market valuation.
The SEC’s review process will determine whether the amendment aligns with investor protection principles and market stability considerations. If the proposal receives regulatory approval, Hashdex’s ETF could become one of the more comprehensive crypto investment products in the U.S. market.
