Asset manager T. Rowe Price on Thursday launched its first crypto exchange-traded fund, giving investors exposure to Bitcoin and other digital currencies.
T. Rowe Price, which has $1.89 trillion in assets and is one of the largest wealth managers in the US, said that its Active Crypto ETF is the first actively managed ETF on the market.
The ETF, which trades on the NYSE Arca under the ticker TKNZ, mainly offers investors Bitcoin and Ethereum, weighing 40.75% and 18.42%, respectively, but it also includes other products such as Solana, XRP, Hyperliquid, Dogecoin, and BNB.
T. Rowe Price work to the US Securities and Exchange Commission for trading last October.
“Through the launch of the T. Rowe Price Active Crypto ETF, investors can gain access to a wide range of professionally managed funds, which helps eliminate the idea of building a crypto allocation on their own,” said Blue Macellari, who works as the head of digital assets at the company, he said in the announcement.
The announcement added that the transaction is “the first in a series of companies” in the digital economy, suggesting that more ETFs may soon follow.
Writing on X Thursday, Bloomberg Intelligence senior analyst James Seyffart, he said: “Setting up in a bear market and I know for a fact this has been going on for years. Asset managers continue to build crypto space even when prices have fallen.”
The crypto explosion is Bitcoin ETFs
In January 2024, SEC to be approved Bitcoin ETFs for BlackRock, Fidelity, Grayscale and other asset managers after years of denial.
The fund was the most successful in ETF history, and now manages billions of dollars in assets.
Ethereum followed in the same year and several altcoins are now being sold to investors in the US and Europe.
Traditional investors and Wall Street institutions can now buy crypto through shares traded on the local market.
Investors have previously been frustrated by some of the complexities of crypto management, such as storing private keys and storing digital currencies.
Bitcoin ETFs in particular have helped integrate the asset into traditional currencies, making it easier to borrow or use as collateral.
Under President Trump’s crypto-friendly administration, regulators they will be greater flexibility in managing digital content environments; many SEC cases and investigations related to crypto companies have been dismissed since the Republican took office.
