Key Takeaways
- Trump-backed Truth Social is seeking regulatory approval to launch a crypto blue chip ETF backed by major crypto assets like Bitcoin and Ethereum.
- The prospective ETF’s shares will trade on NYSE Arca if approved.
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Truth Social, part of the President Donald Trump-owned group, Trump Media & Technology Group (TMTG), on Tuesday filed a Form S-1 with the SEC for a new investment product called Truth Social Crypto Blue Chip ETF.
Sponsored by Yorkville America Digital LLC, the fund aims to track five leading digital assets, including Bitcoin, Ethereum, Solana, Cronos, and XRP, initially weighted at 70%, 15%, 8%, 5%, and 2% respectively.
The ETF will be listed on NYSE Arca and rebalanced quarterly to maintain target allocations. Foris DAX Inc., an affiliate of Crypto.com, will serve as the fund’s liquidity provider and rebalancing agent.
“The Trust is a passive investment vehicle that seeks to reflect generally the performance of the prices of the Portfolio Assets before payment of the Trust’s expenses and liabilities,” the filing states. The fund will issue shares in blocks of 10,000 that can be created and redeemed by authorized participants.
If approved, the shares of the fund will be listed on NYSE Arca and issued in creation units of 10,000. Initially, only cash creations and redemptions will be allowed. In-kind transactions may follow, pending regulatory approval.
The ETF’s custodian and liquidity provider is Foris DAX, Inc., affiliated with Crypto.com. The benchmark pricing is provided by CF Benchmarks, using CME indices.
The filing is part of an ongoing push by Yorkville and Trump Media to position Truth Social and its “America First” brand in the digital asset space.
The entities are also seeking SEC approval to launch Truth Social Bitcoin ETF, focused solely on Bitcoin, and Truth Social Bitcoin & Ethereum ETF, a hybrid investment product that offers exposure to the two leading digital assets.
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