After the U.S. Securities and Exchange Commission (SEC) refused to review Vaneck's exchange-traded fund (ETF) application, the well-known gold fund manager formally withdrew and retreated to reassess its strategy. Now, Vaneck has emerged with a new initiative: partnering with data provider Cryptocompare to launch the first major institutional cryptocurrency indexes, covering Bitcoin, Ethereum, and other top digital assets.
From ETF Rejection to Index Pioneering
In the summer of 2017, as Bitcoin's price surged past $4,000, Vaneck filed what was seen as a landmark crypto ETF application with the SEC. The move signaled Wall Street's growing interest in digital assets. However, by autumn, as prices climbed even higher, traditional finance institutions grew skittish, leading the SEC to back away from the proposed product. To preserve face and leave the door open for future attempts, Vaneck formally withdrew its application in August 2017. The subsequent criticism of Bitcoin by Wall Street heavyweights did little to dampen the crypto market's resilience, and Vaneck soon set to work on an alternative approach.
After months of recalibration, Vaneck's MV Index Solutions (MVIS) unit joined forces with Cryptocompare to launch 12 single cryptocurrency indexes (including Bitcoin and Ethereum) and 4 basket indexes containing between 5 and 100 different coins. These indexes draw data from dozens of global crypto exchanges — up to 50 — and are weighted by trading volume, with historical data going back to 2014.
A Logical Step Toward an ETF
Gabor Gurbacs, Vaneck's Director of Digital Asset Strategy, told Bloomberg: “The logical step, once the Bitcoin futures market exists, is to reevaluate whether it's suitable to refile the ETF.” He explained that the index move aims “to raise further awareness of digital assets as an emerging asset class and hope to create high-level institutional content and materials for investors and anyone interested.” Gurbacs emphasized, “We realize that digital assets have gained recognition in the past year, and we’re looking at the necessary building blocks for this asset class. Block one is a proper way to monitor the market.”
The launch of these indexes not only provides institutional investors with standardized pricing and tracking tools but is also widely seen as a critical precursor to Vaneck's renewed ETF ambitions. Analysts believe that by first establishing a transparent and robust index framework, Vaneck can demonstrate to regulators that the crypto market is observable and mature enough to support an ETF structure.
With Bitcoin prices hitting new all-time highs in late 2017, market anticipation for a crypto ETF remained high. Vaneck's move signals a shift in strategy for traditional financial giants: instead of directly pushing for an ETF approval, they are now building foundational infrastructure — and waiting for the right moment to strike again.