A recently disclosed registration statement with the U.S. Securities and Exchange Commission (SEC) has shed light on the structure of a proposed crypto exchange-traded fund (ETF). Cyber Hornet ETFs LLC, a digital asset investment firm, filed Form S-1 on January 12, 2026, for the “Cyber Hornet S&P Crypto 10 ETF,” which aims to track the S&P Cryptocurrency Top 10 Index.
Index Weighting Highly Concentrated
According to the filing, as of the latest rebalance, the index constituents and their approximate weights are: Bitcoin (BTC) 69.92%, Ethereum (ETH) 14.58%, XRP 5.05%, Binance Coin (BNB) 4.75%, Solana (SOL) 2.92%, TRON (TRX) 1.09%, Cardano (ADA) 0.57%, Bitcoin Cash (BCH) 0.48%, Chainlink (LINK) 0.36%, and Stellar (XLM) 0.29%. The top three cryptocurrencies—BTC, ETH, and XRP—together account for nearly 90% of the index weighting, underscoring the dominant influence of large-cap digital assets on overall performance.
Certain Assets Excluded from the Portfolio
Although the index includes BNB and TRON, the filing reveals that the sponsor determined these assets do not meet internal eligibility requirements and will be excluded from the trust's portfolio. This exclusion may lead to a reallocation of weights among remaining eligible constituents or the inclusion of substitute assets at the sponsor's discretion. The trust plans to issue and redeem shares in blocks of 25,000 through authorized participants using cash transactions.
Custody and Fee Arrangements
The proposed fund will hold cryptocurrencies in institutional custody with Bitgo Bank & Trust, N.A., and calculate net asset value daily using index pricing data. A unitary sponsor fee of 0.95% annually is specified, with trading costs borne separately by the trust. Risk sections emphasize volatility, regulatory uncertainty, and the speculative nature of crypto-linked securities, noting the trust's status as an emerging growth company under the JOBS Act.
This filing suggests that as U.S. regulators weigh index-based digital asset fund structures, the market is moving toward highly concentrated exposure products centered on BTC and ETH. Analysts believe that if approved, such an ETF could offer traditional investors a convenient way to access the crypto market, but attention must also be paid to tracking differences from excluded assets and potential legal compliance challenges.