A prospectus for a new cryptocurrency-based exchange-traded fund (ETF) has just been filed with the U.S. Securities and Exchange Commission (SEC).

The application, posted by the SEC on May 9, was created by Crescent Crypto Index Services LLC, a subsidiary of Crescent Crypto Asset Management LLC, to track the performance of a market capitalization-weighted portfolio of bitcoin (BTC) and ether (ETH).

Dubbed the USCF Crescent Crypto Index Fund (ticker symbol “XBET”), the ETF is sponsored by United States Commodity Funds LLC (USCF), which will invest XBET’s assets in the two portfolio cryptocurrencies.

The prospectus states:

“XBET is an exchange traded fund. This means that most investors who decide to buy or sell shares of XBET place their trade orders through their brokers and may incur customary brokerage commissions and charges. Shares of XBET are expected to trade on the NYSE Arca under the ticker symbol “XBET” and will be bought and sold throughout the trading day at bid and ask prices like other publicly traded securities.”

USCF is a commodity pool operator subject that comes under the regulatory oversight of the Commodity Futures Trading Commission and the National Futures Association under the Commodity Exchange Act (“CEA”), according to the filing.

XBET adds to the list of crypto ETFs currently being reviewed by the SEC. Decisions on two bitcoin ETFs – one from filed by Bitwise Asset Management with NYSE Arca, and the other from VanEck and SolidX, in partnership with Cboe BZX Exchange – were postponed late in March.

While the SEC has not yet approved any crypto ETFs, it may be just a matter of time before one passes muster with the regulator.

In an interview with Roll Call in early February, SEC Commissioner Robert Jackson offered the opinion that an ETF proposal will “satisfy the standards” the regulator has set, “eventually.”

SEC image via Shutterstock