- 21Shares filed with the SEC for a spot SEI ETF using Coinbase Custody as custodian.
- Canary Capital submitted the first SEI ETF application with staking exposure in April.
- SEI token rose over 4% following 21Shares filing, trading near $0.30 with higher TVL.
The race to launch the first SEI exchange-traded fund in the United States has intensified. Crypto asset manager 21Shares has filed for a spot SEI ETF with the Securities and Exchange Commission, following Canary Capital’s April application. Both firms aim to bring SEI exposure to institutional and retail investors.
21Shares Joins the Race for First SEI ETF
21Shares submitted an S-1 registration statement to the SEC seeking approval for a spot SEI ETF. The product would track the CF SEI-Dollar Reference Rate, which uses data from multiple exchanges. Coinbase Custody Trust Company was named custodian, and Coinbase would act as prime broker.
The firm is also considering staking SEI within the fund to provide additional returns. However, 21Shares stated that this option depends on whether such activity avoids unnecessary legal, tax, or regulatory risks. The company described the filing as a “key milestone” in its vision to expand access to the SEI network.
The SEI network, launched in August 2023, is a layer-1 blockchain designed for trading infrastructure across decentralized exchanges and marketplaces. Its native token SEI is used for gas fees and governance.
Canary Capital Filing and Broader ETF Competition
Canary Capital was first to file for an SEI ETF in April. Its proposal included staking SEI tokens, giving investors exposure to potential rewards. Justin Barlow, executive director at the Sei Development Foundation, said at the time that ETFs can act as “a gateway for broader adoption” of the network.
The SEI filings come during a broader wave of ETF applications for altcoins. While Bitcoin and Ethereum spot ETFs are the only ones approved so far in the US, issuers such as VanEck, Bitwise, and Grayscale have filed for products tied to Solana, XRP, Cardano, and Dogecoin.
Regulatory procedures may soon change. Reports suggest the SEC is considering a simplified approval framework where S-1 applications could be automatically approved after 75 days unless the agency raises objections. Following 21Shares’ filing, SEI rose more than 4% to $0.30. Data shows its total value locked reached $682 million, supported by protocols such as Dragonswap.
