A new crypto dawn as President Trump’s Truth Social enters the crypto Space with two hot crypto ETF listings

Market analysis by Christopher Tahir, Senior Financial Markets Strategist at Exness

On 7 July, the US Securities and Exchange Commission (SEC) acknowledged Truth Social’s filing of a dual bitcoin-ether exchange-traded fund (ETF) listing. Truth Social, the social media platform run by US President Trump’s media company, initially filed the application with the SEC on 16 Jun 2025.

Although public opinion disputed the application as a conflict of interest, the cryptocurrency industry hailed it as a new dawn for digital assets. More than a tour de force in the crypto space, the connection between the US President and the world of digital assets legitimizes current and future crypto efforts.

Following last year’s watershed listing of 11 spot bitcoin ETFs, the bitcoin-ether ETF strengthens the chain of investment vehicles based on digital assets. Once the SEC confirmed its listing acknowledgement, the ETF’s approval process has officially begun. If it meets the regulator’s criteria, the ETF will offer exposure to both bitcoin and ether and will be listed on the NYSE’s Arca exchange.

With an attractive structure of 75% bitcoin and 25% ether, the bitcoin-ether ETF will be managed by Yorkville America Digital and have Foris DAX Trust Company (operating as Crypto.com) as its custodian. All crypto holdings will be kept in cold storage, clearly separated from the custodian’s accounts for extra security.

Crypto market context

The dual crypto ETF launch and the SEC’s listing acknowledgement could not have been better timed. Historically, 2Q 2025 saw corporate interest reach new highs as companies added 159,107 BTC to their balance sheets. At the current bitcoin price, this equals 17.6 bln USD. This represents a 23.13% QoQ increase, bringing total corporate BTC holdings to 847,000 BTC. That’s around 4% of the total BTC supply of 21 million, according to data by Bitwise Asset Management.

By the end of 2Q 2025, the total value of institutional BTC holdings soared to 91 bln USD, calculated at the price of 107,754 USD for 1 BTC. Compared to the previous quarter, this represents a 60.93% price increase. Resuming its rally, BTC reached a new all-time high above 112,000 USD on 9 Jul before retreating to 110,877.90 USD the following day and another surge to a record high at 123,200 USD on 14 Jul.

This pull-back could be temporary, as traders also take into consideration any potential rate policy changes and the uncertain geopolitical context. Yet, every cloud has a silver lining. And in bitcoin’s case, the silver lining is liquidity.

As corporations continue to stockpile bitcoin into their reserves, its intrinsic value will continue to grow, serving as a viable store of value and a liquidity hedge. It’s worth noting that in 2Q, the number of public companies holding bitcoin spiked, as 46 new firms entered the space. This raised the total amount of bitcoin held in reserves to 125, representing a 58.23% increase QoQ.

Against this backdrop, the dual crypto ETF launch marks a tipping point for digital assets. By acknowledging the Truth Social crypto-backed ETF, the US financial watchdog opens the door to crypto regulation, providing a legitimate way for investors to channel their funds into crypto.

A volatility buffer, potentially

Apart from the attractiveness of offering exposure to two of the world’s dominant cryptocurrencies, what makes the Truth Social exchange-traded fund truly unique is the algorithm it will use for its daily net asset valuation, which is the CME CF bitcoin Reference Rate and the ether Reference Rate. This will ensure that the price movements in each cryptocurrency match market movements in real time.

From a crypto volatility perspective, the ETF’s structure and high-profile characteristics could attract both large institutional investors and individual crypto traders. This means more ether and bitcoin liquidity will become available. The broader the liquidity supply, the lower the volatility. Consequently, the crypto market could see some price stabilisation in the medium to long term.

However, as the borderline between politics and digital finance fades, the degree of unpredictability might also increase. On the bright side, being tied to President Trump’s name, the bitcoin-ether ETF could potentially gain significant traction near term, if approved. Also, thanks to its dual crypto constitution, it might be less volatile than each of its components taken individually.

Compliance implications

The SEC’s review process will have crucial implications for the crypto space. Once the application has been acknowledged, a 240-day decision period follows. Within this space of time, legislators examine the ETF’s structure, custody arrangements, and market impact. This not only proves the importance of regulatory compliance in the crypto space but also sets a standard for what legitimate and transparent spot crypto-backed instrument listings should be. A clear custody valuation method is key to any such efforts. It also demonstrates that discretionary powers within the fund’s structure should be kept to a minimum.

New crypto ETF filing – the more, the merrier

No sooner had the SEC acknowledged the Truth Social crypto ETF application than the same Truth Social filed yet another crypto ETF application. On July 8, a new S-1 exchange-traded fund comprising BTC, ETH, SOL, XRP, and CRO registration landed on the SEC legislators’ desk. The initial fund allocation includes 70% bitcoin, 15% ether, 8% solana, 5% cronos, and 2% ripple.

Sponsored by Yorkville America Digital and maintained by Forix DAX Trust as custodian, the new ETF is known as Truth Social Crypto Blue Chip ETF. This new filing puts Trump’s media company on a new footing. Just like the former dual crypto ETF listing application, this new crypto ETF could also turn some high-profile heads in the financial world and crypto punters.

If listed, the five-crypto ETF will be trading on the NYSE Arca exchange. Aiming to provide passive access to crypto markets, the Blue Chip Crypto ETF will track the performance of the digital assets held by the trust. While the ETF shares will offer investors exposure to some of the most sought-after crypto assets, they will not grant ownership of these cryptos.

The crypto markets are sizzling

Solana advanced 1.35% to 154.13 USD as soon as the news hit the wires. XRP also surged 3.58% to 2.37 USD. Crypto ETFs followed suit as investors priced in a new bull run. On July 10, bitcoin and ether investors flocked to the charts in a buying frenzy that catapulted US spot BTC ETFs to fresh tops. The total cash inflows channeled into these assets totaled 1.17 bln USD, 448 mln USD of which came from BlackRock’s iShares bitcoin Trust ETF (IBIT) and 324 mln USD from Fidelity’s Wise Origin bitcoin Fund. These near-record cash investments followed bitcoin’s renewed rally into 11 Jul, when it soared above 113,800 USD.

In a chain reaction, ether spot ETFs saw a total net inflow of 383.1 mln USD on 10 Jul, which marked the second-highest net cash inflow in the history of crypto ETFs. Whether the surge will continue remains to be seen. Besides the SEC’s approval of these listings, geopolitical forces are decisive players in what will happen in the long run. One thing becomes certain as the year progresses. Spot crypto ETFs are the new norm.