Hashdex Awaits Green Light for Wall Street Crypto Fund as Market Faces Plunge
Summary:
Hashdex is planning to launch a Bitcoin and Ether crypto fund on Wall Street, following U.S. regulatory approval. The proposed ETF will balance crypto assets according to their market capitalizations. Meanwhile, Bitcoin non-fungible tokens (NFTs) sales volumes have surpassed those of Ronin. Despite this, NFTs have experienced a downturn in volume. The crypto market, particularly altcoins, has seen significant drops recently, with some coins experiencing double-digit falls. Potential factors could be waning interest in spot Bitcoin exchange-traded fund and the decrease in Bitcoin ETF flows over the past week.
Hashdex aims to introduce a combined Bitcoin and Ether crypto fund on Wall Street, awaiting regulatory approval in the United States. In contrast, the memecoin market has seen a significant fall while Bitcoin-based non-fungible tokens (NFTs) have exceeded Ronin's 30-day sales volume as numerous crypto altcoins fell by double digits.
In a submission made to the United States Securities and Exchange Commission (SEC) on June 18, Hashdex announced its intent to establish a concurrent spot Bitcoin (BTC) and Ether (ETH) exchange-traded fund on the Nasdaq exchange. The suggested ETF would adjust crypto holdings based on their market values, which on May 27, amounted to 70.54% for BTC and 29.46% for ETH. Hashdex aims to follow the Nasdaq Crypto US Settlement Price Index's daily market fluctuations with its passive investment approach, without any intention to outperform it. Both Coinbase and BitGo are expected to hold the BTC and ETH assets in custody. Analyst James Seyffart remarked that a combined-asset ETF "holds a lot of potential".
Bitcoin-focused non-fungible tokens (NFTs) witnessed a sales volume of $148 million over the previous 30 days, outperforming the Ronin blockchain, which previously maintained the third-highest record for all-time NFT sales. Over the past thirty days, Bitcoin-oriented NFTs posted a sales volume of $148 million. This places them in the first two places for the month, following Ethereum, which posted a volume of $157 million, with Solana trailing closely with approximately $77 million. Regardless of the notable sales figures, NFTs noticed a decrease in volume, with the leading three chains reflecting at least a 40% drop in 30-day sales, according to CryptoSlam.
As top altcoins plunged double digits, crypto markets sunk into a crimson abyss on Monday - a phenomenon for which there is "no clear catalyst", an industry analyst confessed to Cointelegraph. The market cap for crypto has dropped to $2.46 trillion, an overall 3.5% decrease in the last 24 hours. Shiba Inu (SHIB) and Avalanche (AVAX) experienced the hardest hits among the top 20 altcoins by market cap on June 17, plunging 12.7% and 10.6% respectively, according to data from CoinGecko.
Uniswap (UNI) and Dogecoin (DOGE) also experienced a steep drop, while Solana (SOL) fell 9.4%, and both Bitcoin (BTC) and Ether (ETH) reported decreases of 1.3% and 4.4% respectively in the past 24 hours. Ripple’s XRP (XRP) was the sole non-stablecoin to avoid a value drop, albeit it only recorded a slight 0.1% gain.
Apollo Crypto's Chief Investment Officer, Henrik Anderrson, said he couldn't identify the primary cause behind the market slide - but suggested that the recent drop in interest for spot Bitcoin exchange-traded funds might be a factor. 10xResearch, a digital asset firm, also linked the recent altcoin drop to the decline in spot Bitcoin ETF flows over the past week - although they believe the connection operates in the reverse direction.
This report includes additional information from Geraint Price, Sam Bourgi, and Felix Ng.
Published At
6/19/2024 12:23:19 AM
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