Grayscale Avalanche ETF Filing Shakes Up the Crypto Market
Grayscale Investments is once again making waves in the cryptocurrency space — this time targeting Avalanche (AVAX). The company has formally submitted an S-1 filing with the United States Securities and Exchange Commission (SEC). The SEC has been petitioned to convert its Avalanche Trust into a spot ETF that trades on public exchanges, allowing investors to trade AVAX through their brokerage accounts.
As per the proposal, the fund assets will be safeguarded by Coinbase Custody while BNY Mellon will act as administrator and transfer agent. Nasdaq, which filed for permission to list the ETF in March 2025, is expected to host the ETF trading.
Earlier in the year, Grayscale made spot ETF filings for XRP and Dogecoin (DOGE), signaling its ambition to lead the charge in crypto ETF innovation.
Avalanche: The Blockchain’s Contender to Receive Wall Street Grades
Avalanche is a popular blockchain platform for decentralized applications (dApps) and smart contracts, launched by Ava Labs in September 2020. It currently ranks as the 22nd largest cryptocurrency by market capitalization, valued at around $10.2 billion, according to CoinGecko.
However, AVAX price tells another story. The token peaked at $54.2 in December 2024 but has since dropped 55% to $24.3, marking a 35% year-to-date decline.
Despite the dip, optimism remains high. Notably, Anthony Scaramucci’s SkyBridge Capital partnered with Avalanche on a $300 million tokenization project, and the state of Wyoming selected Avalanche as the blockchain for its Frontier Stable Token (FRNT).
Also Read: Metaplanet Joins FTSE Japan Index After Bitcoin-Fueled Mid-Cap Upgrade
Competition Heats Up
Grayscale isn’t the only player in this race. In March 2025, VanEck, a heavyweight in the ETF industry, filed for its own spot AVAX ETF.
With these moves, the competition to provide mainstream access to Avalanche is accelerating.
If approved, the Grayscale Avalanche ETF could mark a significant bridge between traditional finance and blockchain technology, setting the stage for wider AVAX adoption.
