VanEck Files for Avalanche ETF as Institutional Interest Grows

Highlights:

• VanEck files an S-1 registration for Avalanche ETF with the United States SEC.
• The new application comes a few days after the asset management firm registered a statutory trust for an AVAX ETF in Delaware.
• The ETF will allow traders to gain exposure to AVAX, eliminating the risks of holding the token.

Crypto asset management firm VanEck has filed a new S-1 registration with the United States Securities and Exchange Commission (SEC) for an Avalanche (AVAX) Exchange Traded Fund (ETF) approval. The move comes a few days after the firm registered a statutory trust for an AVAX ETF in Delaware.

In the filing document, VanEck noted that the ETF aims to allow investors to gain AVAX exposure without directly holding the token. This reduces the risks tied to storing digital assets in wallets or other vulnerable platforms. Like other ETFs, AVAX ETF will list on a stock exchange with a yet-to-be-determined ticker symbol. The ETF custodian is also unknown but may be disclosed with the ticker in subsequent filings.

The ETF aims to track AVAX’s price, excluding operational expenses. It will derive its value from the MarketVector Avalanche Benchmark Rate. The filing stated that the asset management firm would calculate the benchmark rate using prices from the top five AVAX trading platforms, which it will select using CCData.

AVAX ETF filing marks VanEck’s fourth ETF application. The asset management firm previously applied for Bitcoin (BTC), Ethereum (ETH), and Solana (SOL) ETFs. Last year, the SEC endorsed Bitcoin and Ethereum ETFs, while Solana’s approval has continued to stall.

NEW: @vaneck_us officially files for an Avalanche ETF. pic.twitter.com/LL1FN770lZ

— James Seyffart (@JSeyff) March 14, 2025

Future Anticipated Steps

The S-1 filing is the first official step toward ETF approval. The SEC may request edits or additional details before approving it. Meanwhile, VanEck must submit a second application, the 19b-4 filing as the second step for launching an ETF. The SEC will also review, acknowledge, and request public opinions on the filing.

Based on the standard SEC practice, these steps could take over six months. However, new SEC leadership pushing crypto adoption could shorten the timeframe. The SEC crypto task force led by Hester Peirce plans to simplify the bureaucracy associated with coin-offering registrations. This also applies to the review procedures, as the task force will roll out explicit rules tailored to the crypto market.

AVAX Records Slight Increment in its Short-Term Variable

With the AVAX ETF news, the token is expected to react positively. However, AVAX has recorded a slight 1.3% jump in the past 24 hours, trading at approximately $18.80. Other longer-term data shows AVAX is struggling. It is down 5.6% week-to-date, 27.7% month-to-date, and 63.9% year-to-date.

On X, a verified user with over 32K followers revealed that VanEck’s Avalanche ETF filing could be a huge game changer for the token. According to the user, the ETF would boost institutional interest and mainstream adoption, enhancing AVAX’s credibility as a sustainable investment.

He also noted that despite the positive news, Avalanche must improve in some aspects. “The ETF could spark demand, but Avalanche needs to tackle market conditions and competition head-on to shine,” the X user noted. The user’s remarks align with sentiments from other analysts and market observers on X.

VanEck's Avalanche ETF filing could be a game-changer for $AVAX. 🚀 Institutional interest and mainstream adoption might get a serious boost, enhancing Avalanche's credibility as a solid investment. But wait, there's a twist—$AVAX is down 55% YTD. Bears still lurking. The ETF…

— Alva (@AlvaApp) March 15, 2025