VanEck Files for New ETF Focused on Digital Asset Infrastructure

VanEck, a prominent asset management firm, has submitted a proposal for a new exchange-traded fund (ETF) targeting companies involved in building infrastructure for digital assets.

Unlike traditional crypto ETFs, this fund avoids direct cryptocurrency exposure while maintaining a strategic focus on the digital asset ecosystem.

According to a January 15 SEC filing, the Onchain Economy ETF aims to allocate at least 80% of its assets to "Digital Transformation Companies" and digital asset instruments. These include crypto exchanges, payment processors, mining operations, and firms providing critical infrastructure services.

The fund also intends to invest in companies offering core technology, infrastructure, and data center capabilities that enable digital asset operations.

VanEck defines Digital Transformation Companies as those selected through a combination of fundamental analysis, market trends, strategic positioning within the digital asset space, and valuation metrics.

While the fund targets investments with exposure to leading digital assets by market capitalization, stablecoins and related instruments are explicitly excluded. It remains unclear whether this exclusion also applies to stablecoin issuers or solely to their products.

Additionally, the fund plans to establish a Cayman Islands subsidiary to manage specific digital asset investments, with exposure limited to 25% of total assets per quarter.

This filing is the latest in a series of crypto-focused ETF proposals:

• Bitwise submitted plans for a 10 Crypto Index Fund ETF in November 2024.
• Grayscale filed to convert its Solana Trust into an ETF in December 2024.

VanEck’s move comes after closing its Ethereum futures ETF in September last year.

Interestingly, VanEck Head of Digital Assets, Matthew Sigel, deleted a social media post about the filing, likely due to SEC restrictions prohibiting the disclosure of specific details during the proposal review process.