21Shares has filed an S-1 registration statement with the Securities and Exchange Commission (SEC) for the first-ever U.S. spot SEI ETF.
The fund will offer investors direct exposure to SEI, the native token of the Sei blockchain, and, if approved, could mark a pivotal moment for both the Sei network and the broader digital asset investment landscape.
According to the Thursday filing, the new 21Shares SEI ETF is a passive investment vehicle designed to track the price of SEI via the CF SEI-Dollar Reference Rate, which aggregates data from multiple reputable spot exchanges.
By avoiding leverage and derivatives, the fund aims to provide transparent, straightforward digital asset exposure for mainstream investors. The ETF’s holdings plan security via Coinbase Custody Trust Company, with Coinbase also serving as the prime broker, adding another layer of institutional credibility.
This initiative follows the successful launches of spot Bitcoin and Ethereum ETFs earlier in 2024, signaling increasing demand from financial institutions and retail investors seeking regulated access to emerging digital assets. The move also follows a similar application from Canary Capital in April, fueling a competitive race to bring SEI exposure to Wall Street portfolios.
Choosing SEI Network
In August 2023, the network launched as a layer-1 blockchain built for trading infrastructure, specializing in high-throughput decentralized exchanges and marketplaces. Its native token powers network gas fees, governance, and a growing suite of DeFi applications.
With SEI recently ranked 74th by market capitalization and trading at $0.30, the token’s increasing adoption and robust utility make it a strong candidate for mainstream investment products.
Notably, 21Shares’ filing leaves open the possibility of staking the tokens held by the ETF, potentially generating additional returns for fund holders. The company states it is currently evaluating regulatory, legal, and tax risks before incorporating staking yields, following debates around staking in ETFs for other altcoins such as Solana.
If greenlit, 21Shares could become one of the first to offer staking rewards within an ETF framework, a move that could reshape product design for future crypto funds.
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