TLDR
- Bitwise’s Chainlink ETF hits DTCC’s active list, nearing SEC approval.
- CLNK’s DTCC listing signals market readiness and rising investor optimism.
- Grayscale rivals Bitwise with staking-based Chainlink ETF proposal.
- SEC delays amid shutdown stall ETF reviews, slowing crypto fund launches.
- Market sentiment stays cautious as Chainlink ETFs edge toward debut.
The Chainlink ETF proposed by Bitwise has entered a key stage, now listed as “active” and “pre-launch” on the DTCC website. This placement signals that the fund’s shares are eligible for settlement through the Depository Trust and Clearing Corporation upon SEC approval. The listing boosts market confidence as it indicates the fund’s operational systems are ready ahead of an anticipated launch.
Chainlink ETF Moves into DTCC’s Active Pipeline
Bitwise has advanced its proposed Chainlink ETF by securing a listing under the ticker CLNK on the DTCC platform. DTCC, responsible for clearing and settlement, often includes products nearing official exchange debut in its pre-launch list. Though not a regulatory approval, this step shows significant backend preparation by the fund issuer.
The ETF’s classification as “active” positions it for immediate market activation after regulatory clearance. While the SEC must still approve the product, Bitwise’s progress demonstrates a structured push toward market readiness. Additionally, Bitwise has not yet filed Form 8-A, which is required before trading can begin.
Bitwise submitted its Form S-1 in August, detailing the fund’s structure and its focus on tracking the LINK token. The Chainlink ETF seeks to offer direct exposure to the Chainlink network’s native asset, enabling broader access to decentralized oracle infrastructure. The filing did not include any staking features, potentially streamlining the approval process.
Grayscale Competes with a Staking-Based Chainlink ETF
Grayscale has also entered the race with its own proposed spot Chainlink ETF, introducing a competitive angle to the space. Its filing includes staking mechanisms, which may face added scrutiny under current SEC interpretations. The regulatory body has previously hesitated on similar features due to classification uncertainties.
Unlike Bitwise, Grayscale’s product may require additional compliance layers and amendments before approval. The Chainlink ETF filed by Grayscale joins a growing number of altcoin-focused funds awaiting decisions amid reduced SEC activity. The delay links directly to the extended U.S. government shutdown, now over 40 days.
This shutdown has significantly slowed the SEC’s review processes, placing many ETF proposals in temporary limbo. Market participants now expect action once a federal funding agreement restores full operations. Grayscale’s chances may depend on whether the SEC resumes standard procedures or adopts recently introduced streamlined rules.
Market Trends Reflect Cautious Sentiment Despite New Listings
Crypto-related exchange-traded products, including the Chainlink ETF, face shifting demand amid volatile trading conditions. Institutional flows recently showed net outflows totaling $1.17 billion, continuing a multi-week trend of exits from crypto funds. High volumes of $43 billion suggest strong trading, but sentiment remains uncertain.
Although optimism grew midweek after signs of a shutdown resolution, market participants pulled back again by Friday. This has affected overall fund sentiment, even as new products like the Chainlink ETF move closer to activation. The broader environment underscores the challenge of launching crypto ETPs during unstable macro conditions.
Bitwise’s Chainlink ETF stands out as one of the few products ready for launch post-approval. Its DTCC listing distinguishes it as technically prepared, even if regulatory timing remains unclear. As the market watches for the SEC’s next move, Bitwise maintains a clear lead in bringing a Chainlink ETF to market.
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