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Bitwise Chainlink Spot ETF Listed on DTCC Ahead of Launch

Bitwise's Spot Chainlink ETF Advances to DTCC Active Pre-Launch Status Amid US Government Shutdown Delays and New SEC Listing Standards

  • Bitwise spot ChainLink ETF has been listed as “active” and “pre-launch” by the Depository Trust and Clearing Corporation (DTCC).
  • The listing is a positive step toward the ETF’s launch but does not guarantee US Securities and Exchange Commission (SEC) approval.
  • Bitwise filed a Form S-1 for the ETF in August but has yet to submit Form 8-A, which is typically required before securities trading begins.
  • US government shutdown has delayed approval for various spot crypto ETFs, including those tracking altcoins such as Dogecoin and Solana.
  • New generic SEC listing standards, issued shortly before the shutdown, may facilitate more approvals once operations return to normal.

Bitwise has moved forward with its spot Chainlink (LINK) exchange-traded fund (ETF), which recently appeared on the Depository Trust and Clearing Corporation’s (DTCC) active and pre-launch registry under the ticker CLNK. This listing indicates progress toward launching the ETF, although it does not guarantee approval by the US Securities and Exchange Commission (SEC). The DTCC processes clearing, settlement, and record-keeping for trades involving stocks and ETFs to ensure efficient market operations.

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The ETF aims to track the price of Chainlink, a decentralized oracle network token that supplies real-time data to smart contracts on blockchain platforms. Bitwise filed a Form S-1 with the SEC in August to register the product. However, the company has not yet filed the Form 8-A, a document typically required before securities can begin trading on an exchange, suggesting the launch may be imminent.

Other crypto asset managers, including Grayscale, are also preparing spot Chainlink ETFs, though some face potential regulatory hurdles, especially those planning to include staking features.

The ongoing US government shutdown, now in its 42nd day but expected to end soon following Senate passage of a funding bill, has delayed processing SEC approvals for numerous spot crypto ETFs. These products cover a range of tokens, including Dogecoin (DOGE), Solana (SOL), Aptos (APT), Avalanche (AVAX), and Hedera (HBAR).

The SEC introduced new generic listing standards on September 17 to streamline the approval of crypto investment products by removing the requirement for case-by-case reviews. However, the timing of these new rules coincided closely with the government shutdown, limiting their initial impact. The shutdown has constrained the SEC’s capacity to review and approve new ETFs.

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For more details, see the DTCC registry here and related status updates here.

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