NYSE Arca Seeks Approval for T. Rowe Price Crypto ETF Listing

NYSE Arca has applied to the U.S. Securities and Exchange Commission to list the T. Rowe Price Active Crypto ETF. The document discusses how the ETF will operate on NYSE Arca. It also includes how the fund will handle the top cryptocurrencies, such as Bitcoin, Ethereum, XRP, Dogecoin, and Shiba Inu.

T. Rowe Price Crypto ETF Uses A Flexible Management Strategy

The ETF is set to invest in a broad selection of available digital assets, per the SEC disclosure. These include the top two coins, like BTC and ETH, as well as the more famous ones such as XRP, DOGE, and SHIB.

This application comes after the NYSE approved Grayscale ETFs that included DOGE and XRP, which has raised institutional levels of interest in such assets. It brings the fund closed to being publicly traded and represents an upgrade to a previous filing by T. Rowe Price.

The fund will not track a fixed index. Instead, it will use an active strategy to adjust exposure based on market signals. A similar expansion of crypto exposure was seen in Franklin Templeton index ETF which contained XRP, Solana, and Dogecoin.

The design of the T. Rowe Price ETF will enable it react to immediate market changes. The filing also describes how the ETF will compute its daily value. This will be based on a reference-rate system that assembles prices on significant trading platforms.

Custody, Liquidity, and Protections Enhance the ETF’s Stability

The ETF will have a creation and redemption scheme that most digital-asset funds use. Approved companies are able to sell or buy crypto or cash, depending on the market conditions. There are also detailed custodial arrangements in the filing.

The crypto custodian which will store the assets of the ETF will be regulated and will use safe offline storage. The filing also shows various steps through which the crypto ETF will minimize its risk of operations.

According to the filing, the fund may fall back on stablecoins, including USDC, to gain liquidity when required. Recently, the NYSE Arca approved the Dogecoin ETF by Bitwise, indicating that the exchange still supports crypto products as necessary.

The submission contained details about market surveillance, risk management, and general transparency. The exchange claims that the new amendments will enable the crypto ETF to run its operations in a more stable setting.