Collaborating to develop cryptocurrency products that provide exposure to cryptocurrency companies in addition to exchange-traded funds (ETFs) based on spot and futures trading is State Street Global Advisors and Galaxy Asset Management.
To register a cryptocurrency-based fund known as the SSGA Active Trust, State Street Global Advisors, a division of State Street, a major financial services company, submitted an application to the U.S. Securities and Exchange Commission (SEC). As per the filed information, Galaxy will oversee the daily administration of the fund’s assets. Galaxy Digital (GLXY), a financial services provider with expertise in digital assets, is connected to the corporation.
The businesses released a statement stating that they “will provide investors access to the $2.4 trillion digital asset ecosystem through manager-directed strategies” as a group. “Investors are seeking exposure to this growing asset class through investment options beyond pure spot bitcoin,” they stated, despite the fact that the cryptocurrency business has become more well-known since the U.S. approved spot bitcoin ETFs in January.
According to Anna Paglia, chief business officer of State Street Global Advisors, “we believe that the digital assets landscape is so much more than the single crypto components and that crypto native companies are best equipped to understand that ecosystem and its correlation with financial markets.” The statement was released.
The latest endeavour from State Street and Galaxy is evidence of the increasing acceptance of cryptocurrencies as an asset class. Galaxy Digital and DWS formed a comparable collaboration in April 2023 to create cryptocurrency management solutions for the European market. “According to this agreement, it is anticipated that State Street Global Advisors and Galaxy would work together to build new digital asset exchange-traded funds (ETFs), with State Street Bank and Trust handling accounting and administrative duties. The statement lacks specifics, according to Laurent Kssis, a CEC Capital cryptocurrency ETF specialist.