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VanEck Seeks US Approval for BNB ETF, First of Its Kind

Coin WorldMonday, May 5, 2025 3:11 pm ET

1min read

Asset manager VanEck has submitted a request to US regulators for approval to list an exchange-traded fund (ETF) that will hold BNB, the native token of Binance’s BNB Chain. This filing is the first of its kind in the United States, marking a significant development in the cryptocurrency ETF landscape. The proposed ETF is designed to accumulate spot BNB tokens and may, at times, stake a portion of the fund’s assets through trusted staking providers, as outlined in the ETF’s S-1 prospectus.

The BNB token, with a market capitalization of approximately $84 billion, is a key player in the cryptocurrency market. As of May 5, BNB stakers earn a yield of around 2.5%. Binance’s BNB Chain is one of the most popular smart contract networks, with a total value locked (TVL) of nearly $6 billion. This popularity underscores the potential demand for an ETF that holds BNB tokens.

The filing by VanEck comes shortly after Binance co-founder Changpeng “CZ” Zhao expressed his expectation that the popularity of Bitcoin (BTC) ETFs would eventually “spill over” into altcoins. During the Token2049 conference in Dubai, cz reportedly stated that while the current cycle has been dominated by Bitcoin ETFs, the success of Bitcoin ETFs would eventually benefit other cryptocurrencies as well. This sentiment aligns with the growing interest in diversifying cryptocurrency investments beyond Bitcoin.

VanEck’s filing is part of a broader trend of asset managers seeking to list ETFs holding various altcoins. The US Securities and Exchange Commission (SEC) has received dozens of cryptocurrency ETF proposals since the beginning of the current administration. These proposals include plans for ETFs holding native layer-1 tokens such as Solana (SOL) and memecoins such as Dogecoin (DOGE). VanEck itself has filed for other cryptocurrency ETFs in recent months, including funds holding Solana and Avalanche (AVAX).

This development highlights the increasing interest in cryptocurrency ETFs and the potential for BNB to become a significant component of the ETF market. The approval of a BNB ETF would provide investors with a regulated and accessible way to gain exposure to the BNB token, potentially driving further adoption and investment in the cryptocurrency. The success of such an ETF could also pave the way for other altcoin ETFs, further diversifying the cryptocurrency investment landscape.

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