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ProShares Files for Derivatives-Based ETF Tracking the CoinDesk 20

The fund seeks diversified crypto exposure without direct custody by using swaps to mirror the index.

Overview

  • ProShares submitted an SEC filing for the ProShares CoinDesk Crypto 20 ETF, proposing a listing on the NYSE and awaiting regulatory review.
  • The product would follow the CoinDesk 20 Index of the largest and most liquid cryptocurrencies while excluding stablecoins, memecoins, and wrapped tokens with quarterly rebalancing.
  • The ETF would use swaps and other derivatives to replicate index performance instead of holding digital assets directly.
  • A Cayman Islands subsidiary could handle certain derivative positions, with exposure capped at 25% of total assets.
  • The proposal builds on ProShares’ derivatives-led approach from its 2021 Bitcoin futures ETF and enters a crowded field, with Bloomberg’s Eric Balchunas citing about 155 active crypto ETP filings.