Bitwise Chainlink ETF Gets SEC Approval, Set to Launch on NYSE

TLDR

• Bitwise has received approval from the SEC to launch its Chainlink ETF on NYSE Arca.
• The ETF will trade under the ticker symbol CLNK, offering direct price exposure to Chainlink’s LINK token.
• The fund launched with $2.5 million in seed capital and 100,000 shares priced at $25 each.
• Bitwise is waiving the management fee for the first three months or until assets reach $500 million.
• Coinbase Custody will provide secure storage for the ETF’s LINK holdings, while BNY will manage cash custody services.

Bitwise has received approval from the U.S. Securities and Exchange Commission (SEC) to launch its Chainlink Exchange-Traded Fund (ETF) on the NYSE Arca. The approval marks a significant step in the expansion of crypto-based investment products. This ETF, set to trade under the ticker CLNK, provides investors with exposure to Chainlink’s native token, LINK, without needing to hold the asset directly.

Bitwise Spot Chainlink ETF to Begin Trading

The Bitwise spot Chainlink ETF will soon start trading on NYSE Arca under the ticker symbol CLNK. Investors can access direct price exposure to the LINK token through this traditional market product. The approval follows Bitwise’s filing of a Form 8-A with the SEC. The trading of this ETF is expected to commence this week, offering a new way to invest in Chainlink through the established financial markets.

The fund launched with $2.5 million in seed capital, with 100,000 shares priced at $25 each. To attract investors, Bitwise has announced a 0% management fee for the first three months. This introductory period applies to assets up to $500 million, after which a 0.34% annual management fee will be charged.

Institutional Infrastructure Supports the ETF

Coinbase Custody will provide secure storage for LINK holdings, ensuring institutional-grade protection for investors. Bank of New York (BNY) will manage the ETF’s cash custody services. These robust risk controls and infrastructure aim to provide peace of mind for institutional investors entering the crypto space.

Bitwise has also considered staking as a potential future enhancement to the ETF. While no official timeline has been confirmed, the firm has designated Attestant Ltd. as its preferred staking provider. This feature could be integrated in the future to enhance the value of the fund for investors.

LINK Price Surges Following ETF Approval

Following the announcement of the ETF approval, Chainlink’s token, LINK, saw a price surge of over 6% in the last 24 hours. The uptick in price was accompanied by a significant increase in trading volume, up nearly 80%. These metrics indicate renewed interest in the token, reflecting investor confidence in the newly approved ETF.

Analysts have pointed to $14.63 as the upper boundary for LINK’s price within its current trading range. Futures open interest also rose to approximately $665 million, further signaling fresh capital inflows into Chainlink. As the ETF moves forward, it joins Grayscale’s Chainlink Trust, which converted into a spot ETF under the ticker GLNK.

In total, these developments reflect a broader trend of institutional-grade crypto investment products gaining approval in the U.S. market.

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