In-Kind Creations & Redemptions for Crypto ETPs is ‘Huge’
The U.S. Securities and Exchange Commission has voted to allow authorized participants to create and redeem crypto exchange-traded product shares directly with the underlying assets, rather than cash.
Gregory Xethalis, general counsel of Multicoin Capital Management, said:
2) It actually means there is more regulatory oversight over the acquisition and disposition of crypto assets because it will be done on behalf of the regulated broker dealers (vs by the funds that are not, themselves, regulated entities; they only register their shares).
— Greg Xethalis (@xethalis) July 29, 2025
4) It also makes it harder for someone to…
