- Nasdaq proposes Rule 5712 to update digital asset investment rules and reclassify the Hashdex Nasdaq Crypto Index US ETF.
- The SEC reviews new filings for XRP and Litecoin ETFs as Nasdaq seeks to expand cryptocurrency investment options.
- Nasdaq’s move follows Brazil’s approval of Hashdex’s XRP ETF signaling growing acceptance of altcoin investment products.
Nasdaq, a US-based stock exchange, has proposed a new rule to govern digital asset investment products. The proposed rule, Nasdaq Rule 5712, aims to redefine the listing and trading structure of such assets. It includes securities issued by entities holding digital assets and investment products based on commodities, cash, and derivatives.
Its latest move specifically targets the Hashdex Crypto Index US ETF (NCIQ). The exchange-traded product fund, managed by Hashdex, is currently listed under a different rule. If approved, Rule 5712 would reclassify NCIQ, aligning it with Nasdaq’s updated regulatory framework.
Focus on Hashdex Nasdaq Crypto Index US ETF
The filing outlines modifications to the investment strategy and objectives of NCIQ. Securities and Exchange Commission had previously approved the NCIQ to provide exposure to spot Bitcoin and Ethereum. The fund was launched on February 14, 2025, through a collaboration between Nasdaq and Hashdex. It became the first multi-asset spot crypto exchange-traded product available to US investors.
This development comes amid growing institutional interest in cryptocurrency ETFs. The recategorization of NCIQ follows Brazil’s approval of Hashdex’s XRP ETF application, introducing the country’s first spot XRP ETF. The decision signals a broader acceptance of altcoin ETFs across global markets.
SEC Reviews New Altcoin ETF Applications
The exchange has also submitted 19b-4 filings with the SEC to introduce CoinShares’ XRP and Litecoin ETFs. These filings indicate Nasdaq’s intention to expand digital asset investment options for institutional and retail investors.
The SEC acknowledged CoinShares’ XRP ETF application, marking its fourth recognition of an XRP ETF proposal. Other firms like Grayscale, 21 Shares and Bitwise also submitted their applications. The growing interest reflects an increasing push to integrate altcoins into mainstream investment portfolios.
The proposal features the evolving regulatory landscape for digital assets. The new rule could pave the way for more structured and accessible cryptocurrency investment options in the US market if it is approved.
