Trump Media and Technology Group Corp. (TMTG) has announced plans to launch two new exchange-traded funds (ETFs) focused on cryptocurrencies. The first fund will concentrate on Bitcoin and Ethereum, while the second will be the Truth Social Cronos Yield Maximizer ETF, designed to track the native token of the Cronos blockchain developed by Crypto.com—an organization with which TMTG has established long-term partnerships.
The announcement, made on Friday, outlines the filing of two new crypto ETF proposals with the U.S. Securities and Exchange Commission (SEC). Both funds aim to offer investors access to staking rewards and will be advised by Yorkville America Equities. Should they receive SEC approval, the ETFs will come with a management fee of 0.95%, and transactions will be facilitated through Crypto.com’s broker-dealer, Foris Capital US LLC.
Kris Marszalek, CEO of Crypto.com, expressed enthusiasm about the partnership, stating, “We are honored to be selected to provide digital asset custody, liquidity, and staking services for these new Truth Social Funds. These two digital asset ETFs have strong potential, and Crypto.com looks forward to giving traders access to them.”
Despite the SEC speeding up its approval process for crypto ETFs, decisions on numerous proposals, including the ones associated with Truth Social, were delayed last August. The regulatory landscape remains challenging, particularly for ETFs that involve staking their underlying assets.
TMTG, which oversees various ventures associated with the Trump brand, primarily aims to elevate its Truth Social platform through crypto investments. The company had initially declared its entry into the cryptocurrency market in June of the previous year by submitting an application for a spot Bitcoin ETF. In collaboration with Crypto.com and Yorkville, TMTG is set to introduce a series of crypto funds aimed at promoting what they term “American exceptionalism.”
This initiative includes a Bitcoin and Ethereum-focused fund and a “Crypto Blue Chip” ETF, which tracks a selection of major cryptocurrencies such as Bitcoin, Ethereum, Solana, XRP, and the Cronos token. TMTG’s relationship with Crypto.com extends beyond these new funds, encompassing various endeavors, including a prediction market and a treasury for the Cronos token.
As the TMTG seeks to diversify and expand its financial offerings through cryptocurrency, it remains to be seen how the new ETFs will be received amid an evolving regulatory backdrop.
