Coinbase acts as a custodian for most crypto ETFs in the United States

What’s new? Leading US centralized crypto exchange (CEX) Coinbase is a key partner of the majority of issuers of cryptocurrency-based exchange-traded funds (ETFs) in the United States. For example, Coinbase acts as custodian for 10 of the 11 BTC ETFs admitted to the market in January, as well as for 8 of the 9 ETH ETFs that will begin trading on July 23.

The exchange’s statement

What else is known? Coinbase holds cryptocurrencies for bitcoin funds such as BlackRock’s iShares Bitcoin Trust (IBIT), Grayscale’s Grayscale Bitcoin Trust (GBTC), Franklin Templeton’s Franklin Bitcoin ETF (EZBC), Invesco and Galaxy Digital’s Invesco Galaxy Bitcoin ETF (BTCO), WisdomTree’s Wisdomtree Bitcoin Trust (BTCW), Valkyrie’s Valkyrie Bitcoin Fund (BRRR), Bitwise’s Bitwise Bitcoin ETP Trust (BITB), and ARK 21Shares Bitcoin ETF (ARKB) from ARK Invest and 21Shares.

The day before, the SEC also allowed spot ETH ETFs to trade. Coinbase will hold cryptocurrencies for funds such as iShares Ethereum Trust (ETHA) from BlackRock, Grayscale Ethereum Trust (ETHE) and Grayscale Ethereum Mini Trust (ETH) from Grayscale, Franklin Ethereum ETF (EZET) from Franklin Templeton, Bitwise Ethereum ETF (ETHW) from Bitwise, 21Shares Core Ethereum ETF (CETH) from ARK Invest, and 21Shares, Invesco Galaxy Ethereum ETF (QETH) from Invesco and Galaxy Digital.

“With a track record of 12+ years safekeeping digital assets at scale, Coinbase has developed the leading institutional-grade custody solution and will continue to maintain company-wide approach to being the safest, easiest, and most trusted bridge to the crypto economy,” the press release says.

SEC approves nine applications to launch spot ETH ETFs

Trading in the shares is expected to open on the NYSE, CBOE, and Nasdaq stock exchanges on July 23

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Representatives of the exchange called the approval of the ETH ETF an important milestone in the development of the crypto economy:

“As the launch and success of spot bitcoin ETFs demonstrated, spot crypto ETFs will continue to unlock diversified pools of new investors to spur long-term growth and product innovation.”

The company notes that spot bitcoin ETFs have increased demand for the asset and have achieved net inflows of $17 billion since launch, making them the best-performing ETF in terms of growth.

Coinbase becomes a custodian partner for the first SOL-based ETP in North America

The product from 3iQ is awaiting approval from the Canadian regulator

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In turn, ETH funds will offer investors access to an asset with unique yield characteristics. The exchange’s representatives note that Ethereum is a robust ecosystem, with 15 million active addresses per month. In 2023 alone, the number of smart contracts deployed on the network grew by 300%. According to them, by increasing the use of Ethereum, ETH ETF investors will help increase the asset’s utility and contribute to the development of the overall crypto ecosystem.