Avalanche Spot ETF: Expanding institutional access to AVAX

Launched in 2020, Avalanche (AVAX) is one of the cryptocurrency industry's major Ethereum virtual machine (EVM)–compatible blockchains. Its native coin, AVAX, ranks among the top assets in the market, in 16th position by market cap as of Mar 25, 2025.

After the US Securities and Exchanges Commission (SEC) approved Bitcoin (BTC) Spot exchange-traded funds (ETFs) in early 2024 and Ethereum (ETH) ETFs in mid-2024, several other prominent altcoins, including AVAX, are now vying for the same privilege.

In March 2025, VanEck, one of the major investment fund managers in the world, applied to the SEC to approve its newly registered Avalanche Spot ETF. With this application, AVAX joins XRP (XRP), Litecoin (LTC), Solana (SOL) and Polkadot (DOT) as one of the altcoins seeking spot ETF status. If approved, the AVAX ETF will mean a significant milestone for the project, likely strongly affecting the coin's market performance. The project’s team, backers and VanEck are all keeping their fingers crossed for approval. Current AVAX HODLers are another group that’s eager to see the application receive a nod from the SEC.

Many others in the crypto community are also keeping an eye on the application, although it’s unclear whether the approval process will be a swift affair or a long-winded marathon. The SEC has historically drawn out the Bitcoin ETF approval process over several years, sometimes delaying approvals with vague reasons yet also raising valid concerns at times. 

AVAX’s ETF approval might follow a similar trajectory. On the other hand, the new US administration of Donald Trump is widely viewed as crypto-friendly, particularly after the recent announcement of the planned US crypto strategic reserve. While AVAX isn’t among the coins included in the fund, the general crypto-friendly stance of the new administration raises hopes for a quick and painless approval process.