Crypto asset management firm Hashdex is applying to launch an ETF backed by both spot Bitcoin and spot Ethereum holdings – the two largest cryptocurrencies by market cap.

The Hashdex Crypto Index US ETF

Analysts discovered the product in a form 19b-4 from the Nasdaq stock exchange on Tuesday, requesting permission from the Securities and Exchange Commission (SEC) to list shares of the Hashdex Nasdaq Crypto Index US ETF.

“The assets of the Trust will consist of bitcoin and ether,” the filing stated. “Under limited circumstances, the Trust will hold cash to bear its expenses.”

The ETF’s exposure to Bitcoin and Ethereum will be market cap weighted. Using crypt prices from May 27, this would imply a 70.54% allocation to BTC, and a 29.46% allocation to ETH.

“The Trust’s investments will not be used to seek performance that is the multiple or inverse multiple of the Trust’s index,” the filing clarified. It will also not stake any of the Ethereum held with the fund to try to earn yield.

The application shortly follows the listing of Bitcoin spot ETFs in January, and the SEC’s recent confirmation that Ethereum spot ETFs will go live sometime this summer.

Unlike other crypto ETFs, the fund also intends to use multiple custodians for its assets, including Coinbase and BitGo.

Could HashDex Include More Cryptos?

The approval of both Bitcoin and Ethereum ETFs has opened investors minds to the potential for a flurry of other cryptos to receive approval, including for memecoins like Dogecoin and BONK.

Although Hashdex’s filing said it would “not invest in any other spot crypto asset besides bitcoin and ether,” some of its language left room for including of other cryptos should they be approved as commodities by regulators, rather than securities.

The final deadline for the SEC to approve or deny the product will be March 2025.

“Shouldnt be a surprise to anyone makes a lot of sense,” said Bloomberg ETF analyst James Seyffart regarding the application. “Bringing something like this to the US makes complete sense as a future goal.”