The Nasdaq inventory trade has taken a decisive step towards increasing crypto funding autos by submitting paperwork for the **21Shares SUI ETF**, initiating formal regulatory evaluation by the U.S. Securities and Trade Fee. This marks the primary exchange-traded fund proposal for Sui Community’s native token, reflecting rising institutional curiosity in different layer-1 blockchains.
In keeping with SEC information dated Might 27, 2025, Nasdaq submitted a 19b-4 utility outlining plans to checklist and commerce shares of the proposed ETF beneath its Rule 5711(d). The submitting comes three weeks after 21Shares’ preliminary S-1 registration assertion on Might 1, finishing the dual-filing requirement for brand spanking new ETF merchandise.
The 21Shares SUI ETF Construction
Not like advanced derivative-based merchandise, the fund will maintain **bodily SUI tokens** by institutional custodians BitGo and Coinbase. Each day internet asset values will observe CF Benchmarks’ SUI/USD reference fee, avoiding worth discrepancies frequent in artificial devices.
The ETF’s conservative design explicitly excludes:
- Staking rewards era
- Leveraged positions
- Derivatives publicity
This construction prioritizes regulatory compliance over yield alternatives, focusing on risk-averse establishments searching for simple crypto publicity.
Nasdaq’s Strategic Crypto Push
Because the itemizing venue, Nasdaq brings established ETF infrastructure to the proposal. Senior Affiliate Basic Counsel Solar Kim spearheaded the submitting, leveraging the trade’s expertise with earlier crypto-linked merchandise. The transfer aligns with Nasdaq’s broader Web3 initiatives, together with its digital property custody division launched in 2023.
Market analysts word the submitting’s timing coincides with renewed SEC scrutiny of altcoin classifications. Whereas Bitcoin and Ethereum ETFs already function beneath particular compliance frameworks, Sui’s regulatory standing stays much less outlined. The SEC should render a remaining choice by January 18, 2026, beneath normal evaluation timelines.
Altcoin ETF Race Intensifies
21Shares’ proposal enters a crowded subject of different crypto ETF purposes:
| Asset | Applicant | Standing |
|---|---|---|
| Litecoin | VanEck | Part 2 evaluation |
| Solana | Grayscale | Pre-filing |
| XRP | ARK Make investments | Remark interval |
Bloomberg Intelligence analyst Eric Balchunas estimates a 75% approval chance for altcoin ETFs assembly strict custody and surveillance requirements.
The Sui Community’s technical structure, which makes use of parallel transaction processing to realize excessive throughput, has attracted developer exercise throughout DeFi and gaming sectors. A profitable ETF launch might funnel institutional capital into these ecosystem initiatives by the SUI token’s utility capabilities.
Business observers spotlight the partnership between 21Shares and Sui Basis as essential to navigating regulatory hurdles. The collaboration contains instructional initiatives about Sui’s proof-of-stake mechanics and Transfer programming language, detailed within the community’s official documentation.
Market makers anticipate volatility in SUI’s spot markets as arbitrage merchants place themselves forward of potential ETF approval. Present open curiosity in SUI perpetual futures has elevated 18% for the reason that submitting disclosure, per CoinGlass knowledge.
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The SEC’s choice on the 21Shares SUI ETF might redefine accessibility to layer-1 tokens past market leaders. Approval would validate Sui’s regulatory standing whereas encouraging comparable filings for competing networks, probably reshaping institutional crypto portfolios.
- ETF
- Trade-Traded Fund: A regulated funding car monitoring property whereas buying and selling on inventory exchanges like conventional securities.
- 19b-4
- SEC kind for proposed rule modifications by self-regulatory organizations like Nasdaq relating to new product listings.
- Layer 1
- Base blockchain protocol dealing with transaction settlement with out counting on exterior networks.
- Custodian
- Regulated entity safeguarding monetary property, essential for institutional crypto merchandise requiring safe storage options.
This text is for informational functions solely and doesn’t represent monetary recommendation. Please conduct your personal analysis earlier than making any funding selections.
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