Valkyrie, an alternative
asset management firm, on Wednesday launched the Valkyrie Avalanche Trust
(VAVAX) to invest solely in Avalanche blockchain’s native token, AVAX.
The fund is open to
accredited investors including banks, insurance companies, brokers, trusts, and
high-net-worth individuals.
VAVAX, whose minimum
investment requirement is $25,000 and a 2% management fee, has already secured
$25 million, CoinDesk reports.
“By launching this
trust, we are able to give qualified investors exposure to a protocol that they
have been increasingly asking about as DeFi projects, NFT platforms, and many
other projects have increasingly begun to build on the Avalanche blockchain,”
said Valkyrie’s Investments Chief Investment Officer, Steven McClurg, in a press
statement.
Consolidations
The launch of VAVAX
comes some weeks after Valkyrie launched its Multi-Coin Trust; and some months
after the Valkyrie Bitcoin Miners Exchange-Traded Fund (NASDAQ: WGMI) kicked off.
While the Multi-Coin
Trust seeks to invest in a group of base-layer tokens such as AVAX, the
WGMI as an exchange-traded fund (ETF) focuses on companies operating in the
bitcoin mining industry.
The WGMI, which is the
third ETF to be offered by Valkyrie, invests in bitcoin mining companies with
80% holdings and at least 50% renewable energy for mining.
Valkyrie’s previous ETF,
the Valkyrie Bitcoin Strategy, on the other hand, focuses on bitcoin futures.
The ETF received the approval of the US Securities and Exchange Commission
(SEC) as it is not a spot bitcoin ETF.
The SEC, which has
already rejected several ETF applications from WisdomTree, Krypton, Fidelity
and SkyBridge, is yet to approved any spot bitcoin ETF.
Twice, the Commission
has postponed its decision on the application by Grayscale, a digital currency
investing services company, to covert its GBPTC shares into a spot bitcoin ETF.
The financial industry
watchdog is concerned about how Grayscale will fend off manipulation and fraud
with the investment instrument.
Valkyrie, an alternative
asset management firm, on Wednesday launched the Valkyrie Avalanche Trust
(VAVAX) to invest solely in Avalanche blockchain’s native token, AVAX.
The fund is open to
accredited investors including banks, insurance companies, brokers, trusts, and
high-net-worth individuals.
VAVAX, whose minimum
investment requirement is $25,000 and a 2% management fee, has already secured
$25 million, CoinDesk reports.
“By launching this
trust, we are able to give qualified investors exposure to a protocol that they
have been increasingly asking about as DeFi projects, NFT platforms, and many
other projects have increasingly begun to build on the Avalanche blockchain,”
said Valkyrie’s Investments Chief Investment Officer, Steven McClurg, in a press
statement.
Consolidations
The launch of VAVAX
comes some weeks after Valkyrie launched its Multi-Coin Trust; and some months
after the Valkyrie Bitcoin Miners Exchange-Traded Fund (NASDAQ: WGMI) kicked off.
While the Multi-Coin
Trust seeks to invest in a group of base-layer tokens such as AVAX, the
WGMI as an exchange-traded fund (ETF) focuses on companies operating in the
bitcoin mining industry.
The WGMI, which is the
third ETF to be offered by Valkyrie, invests in bitcoin mining companies with
80% holdings and at least 50% renewable energy for mining.
Valkyrie’s previous ETF,
the Valkyrie Bitcoin Strategy, on the other hand, focuses on bitcoin futures.
The ETF received the approval of the US Securities and Exchange Commission
(SEC) as it is not a spot bitcoin ETF.
The SEC, which has
already rejected several ETF applications from WisdomTree, Krypton, Fidelity
and SkyBridge, is yet to approved any spot bitcoin ETF.
Twice, the Commission
has postponed its decision on the application by Grayscale, a digital currency
investing services company, to covert its GBPTC shares into a spot bitcoin ETF.
The financial industry
watchdog is concerned about how Grayscale will fend off manipulation and fraud
with the investment instrument.
