- Truth Social files for two crypto ETFs as Bitcoin ETF outflows reach over $410 million.
- The new funds target Bitcoin Ethereum and Cronos with added staking income plans.
- Crypto.com will provide custody liquidity and staking support for both ETFs.
Truth Social Funds has filed with the U.S. Securities and Exchange Commission to launch two cryptocurrency exchange-traded funds. The move comes as institutional money exits key digital asset products. Recent data shows sharp outflows from spot Bitcoin ETFs, even as prices rebound.
On February 12, U.S. spot Bitcoin ETFs recorded net outflows of $410.37 million. No Bitcoin fund posted daily inflows on that date. At the same time, Ethereum products saw net withdrawals of about $144.84 million. Despite this, Bitcoin traded near $68,950 and gained roughly 4% during the session.
Dual Crypto ETF Filing Targets Bitcoin, Ether, and CRO
The first proposed product is the Truth Social Bitcoin and Ether ETF. The fund will track the performance of Bitcoin and Ethereum. According to the filing, it will allocate about 60% to Bitcoin and 40% to Ethereum.
In addition, the Ethereum portion will generate staking rewards. The fund plans to pass staking income to investors. As a result, the product combines price exposure with income generation.
The second filing covers the Truth Social Cronos Yield Maximizer ETF. This fund will focus on Cronos, the token linked to the Cronos blockchain. It will track CRO’s market performance while also seeking staking-based yield.
Crypto.com to Provide Custody and Staking Infrastructure
Crypto.com will support both ETFs with custody, liquidity, and staking services. The exchange will hold the underlying digital assets on behalf of the funds. It will also facilitate staking operations tied to Ethereum and CRO holdings. In October, Crypto.com filed for a National Trust Bank Charter to expand custody services for institutional clients.
Yorkville America Equities will act as the investment adviser for both products. The proposed management fee stands at 0.95%. After regulatory approval, shares would be offered through Foris Capital US LLC, the broker-dealer affiliated with Crypto.com.
The inclusion of CRO adds another token category to the growing U.S. ETF pipeline. Moreover, the filings expand Truth Social’s existing lineup of investment products.
Filing Arrives Amid Broader ETF Volatility
The applications arrive during a period of shifting ETF flows. BlackRock’s IBIT recorded the largest daily withdrawal among Bitcoin ETFs, with $157.56 million in outflows. Fidelity’s FBTC followed with $104.13 million in withdrawals. Other Bitcoin funds also reported redemptions, while some products showed no flow activity.
Earlier, BlackRock submitted an S-1 filing for its iShares Bitcoin Premium ETF, planned for listing on Nasdaq. That proposed fund will mainly hold Bitcoin, shares of the iShares Bitcoin Trust ETF, and cash.
Part of Broader Investment Push by Trump Media
Truth Social Funds operates under Trump Media & Technology Group. The company previously filed for a standalone Bitcoin ETF and a broader crypto-focused fund. That earlier proposal included assets such as Bitcoin, Ethereum, Solana, XRP, and CRO.
Beyond crypto, the firm markets several themed investment products tied to domestic industries. Its existing lineup includes funds focused on U.S. real estate, security, defense, and major consumer brands.
Shares of Trump Media & Technology Group, trading under DJT, recently closed at $10.98. However, the stock has declined nearly 39% over the past six months.