The fund would hold top crypto assets, as well as CRO, a nod to ETF partner Crypto.com.
President Donald Trump’s Truth Social has filed an S-1 registration statement with the Securities and Exchange Commission (SEC) for an exchange-traded fund (ETF) containing five “blue chip” cryptocurrencies.
Truth Social, an arm of Trump Media & Technology Group, has applied to launch the “Truth Social Crypto Blue Chip ETF” that will “primarily” consist of Bitcoin (BTC), Ether (ETH), Solana (SOL), XRP and Cronos (CRO), according to the filing.
The fund will initially hold about 70% BTC, 15% ETH, 8% SOL, 5% CRO and 2% XRP.
The July 8 filing comes just weeks after the SEC has acknowledged the Truth Social ETF proposal for a combined spot Bitcoin and Ether ETF, starting the clock on the approval process.
The crypto ETF approval process has been historically long and arduous under prior SEC leadership, including Biden-era SEC Chairman Gary Gensler, though the first U.S. spot crypto ETFs were approved under Gensler. The review process appears to have eased up dramatically under President Donald Trump’s new, pro-crypto SEC Chairman, Paul Atkins who has called for a “rational regulatory framework” for crypto broadly.
While the agency has delayed most applications for spot Solana ETFs — with the notable exception of the Rex-Osprety SOL + staking ETF that launched last week under a different approval process — there are already several Bitcoin ETFs and Ethereum ETFs, making the Truth Social ETF a lighter lift to approve.
That’s likely one reason why its BTC and ETH ETF proposal, filed on June 16, jumped ahead of the more than 72 crypto ETF applications currently before the agency.
The Cronos Connection
For both ETF products, the Foris DAX Trust Company, the U.S. custody affiliate of centralized crypto exchange Crypto.com, will be the custodian.
That explains the rather unusual choice of CRO for the Crypto Blue Chip ETF. Cronos (CRO) was developed by Crypto.com and it is currently the No. 42 cryptocurrency by market capitalization, according to CoinGecko.The other assets listed in the fund are all in the top six cryptocurrencies.
CRO’s inclusion in the ETF proposal caused the token to pump dramatically yesterday. It was up 16% on the news and is up 18% on the week, trading at $0.095 at press time. By comparison, BTC, ETH, XRP and SOL were basically flat on the news.
On April 22, Trump Media, Crypto.com, and Yorkville America Digital announced plans to launch a series of ETFs and exchange traded products (ETPs) with a “Made in America” focus, namely that will include CRO. The Truth Social Crypto Blue Chip ETF is sponsored by Yorkville America Digital, and will, if approved, list on the NYSE Arca exchange, per the filing.
Truth Social has not yet expressed an interest in filing for an ETF containing the President’s TRUMP memecoin, although a pair of other applicants have done so — a choice that Bloomberg Senior ETF Analyst Eric Balchunas called “surreal.” He also wondered aloud on X if a TRUMP ETF would influence the SEC’s decision on other memecoin ETFs.
The U.S. President’s involvement in crypto deals has caused outrage in Washington, namely among Democrats, who have accused him of outright corruption. This also delayed the Senate’s eventual passage of the GENIUS stablecoin regulatory legislation, as Democrats sought to insert language around the issue, and may do the same thing when the House takes it up during next week’s “Crypto Week” in Congress.
In late May, Truth Social’s parent company Trump Media announced its Bitcoin corporate reserve, starting with a $2.5 billion haul.
Source: https://thedefiant.io/news/regulation/trump-truth-social-files-for-crypto-blue-chip-etf-with-cro