What happened?
Crypto trading firm GSR has filed with the U.S. Securities and Exchange Commission (SEC) to launch its first exchange-traded fund (ETF), which is designed to track public firms that hold cryptocurrencies on their balance sheets. The proposed GSR Digital Asset Treasury Companies ETF would primarily consist of companies listed on U.S. exchanges. This filing comes amidst a time when corporate treasuries holding crypto have reached record levels in 2025, despite many firms’ valuations slipping below the value of their reserves.
Who does this affect?
This largely affects public companies that have invested heavily in cryptocurrencies like Bitcoin and Ether, and are now dealing with market values below the worth of the tokens they possess. These firms, along with institutional investors, could stand to benefit from or be impacted by the success of GSR’s proposed fund. It also has implications for the broader market of Wall Street vehicles packaging crypto exposure for traditional markets.
Why does this matter?
The performance of GSR’s proposed ETF could influence the market’s perception of corporate crypto treasuries as either a safe innovation or a risky experiment under stress. It also signals an acceleration of momentum in the ETF market, with issuers increasingly filing for products tied to altcoins and staking strategies. The decision of SEC on the approval of GSR’s fund may also have implications on the future of crypto ETFs filtering into the mainstream market.