Rebecca Cruz ETFtober heats up as more than five new crypto ETFs including VanEck’s Lido Staked Ethereum ETF and ARK’s Bitcoin products flood the SEC despite a government shutdown.
ETFtober sees record crypto ETF filings despite regulatory gridlock
The momentum around crypto ETFs has reached new heights this October as the so-called ETFtober turns into one of the busiest months in the digital asset sector’s history. Over five new crypto ETF filings landed on the US Securities and Exchange Commission’s (SEC) desk this week alone, proving that the appetite for tokenized investment products remains unstoppable even amid a prolonged government shutdown.
Leading this week’s wave was VanEck, which filed its much-anticipated Lido Staked Ethereum ETF. The product is designed to mirror the performance of stETH, the liquid staking token from Lido that represents deposited Ether plus staking rewards. The filing highlights how institutional players are now pushing for products that merge decentralized finance yield strategies with traditional ETF infrastructure.
VanEck has already laid the groundwork by registering a statutory trust in Delaware earlier this month. With nearly 8.5 million ETH worth over $33 billion locked on Lido, the demand for a regulated vehicle to access staking yields is massive. The trust expects to earn staking rewards through its stETH holdings, offering investors exposure to Ethereum’s yield economy without requiring them to directly stake tokens.
VanEck and 21Shares lead new crypto ETF innovation race
While VanEck targets Ethereum staking exposure, 21Shares is taking a bold step with a leveraged approach. The firm submitted an application for a leveraged Hyperliquid ETF, providing 2x exposure to HYPE, the native token of the Hyperliquid ecosystem. This ETF amplifies the token’s single-day performance, appealing to short-term traders seeking high-volatility opportunities.
Bloomberg ETF analyst Eric Balchunas described the move as “so niche” yet potentially lucrative, emphasizing how the current crypto ETF landscape resembles a gold rush. With dozens of firms rushing to capture early market share, creativity in product design has become the defining theme of ETFtober.
However, the ongoing US government shutdown has delayed approval processes, freezing SEC decision-making. Still, that hasn’t stopped issuers from filing. As Balchunas noted, the industry is witnessing a “total land rush” for digital asset ETFs, with firms eager to position themselves before regulatory clarity arrives.
ARK Invest triples down on Bitcoin ETF strategies
Cathie Wood’s ARK Invest is once again in the spotlight with three new Bitcoin ETF filings unveiled this week. Each product offers a unique twist on Bitcoin exposure, from yield generation to downside protection.
The ARK Bitcoin Yield ETF is structured to earn income through option-selling strategies on Bitcoin, tapping into derivatives markets to generate consistent returns. Meanwhile, the ARK DIET Bitcoin 1 ETF and ARK DIET Bitcoin 2 ETF are designed with built-in downside protection offering 50% and 10% buffers respectively while preserving upside potential during Bitcoin rallies.
These innovative designs show that the next generation of crypto ETFs is not just about holding spot assets but engineering risk-managed exposure that caters to both conservative and aggressive investors. ARK’s move underscores the growing institutional sophistication in the ETF space and reflects confidence in Bitcoin’s long-term trajectory.
Market momentum builds as ETF pipeline swells
VanEck’s Lido Staked Ethereum ETF and ARK’s Bitcoin lineup are only part of the broader wave sweeping through ETFtober. Volatility Shares also joined the race with multiple leveraged ETF proposals, including 3x and 5x exposure products linked to crypto and major US equities.
On the same front, VanEck revised its Solana Staking ETF filing, trimming fees to 0.3% a competitive move that could make it one of the most cost-effective options on the market once approved. Industry watchers believe that once the government shutdown concludes, the SEC will face an avalanche of pending ETF applications across digital assets.
Nate Geraci, President of ETF Store and Nova Dius, noted the irony that political gridlock and ballooning fiscal debt are delaying products designed to hedge against such risks. As he put it, the crypto ETF boom embodies the very ethos of digital assets decentralized, permission less, and driven by innovation rather than bureaucracy.
ETFtober marks a turning point for crypto mainstream adoption
The surge in crypto ETF filings this October underscores the sector’s evolution from speculative experiments to institutional-grade products. Firms like VanEck, ARK Invest, and 21Shares are not just expanding the market they are redefining how traditional investors can access blockchain-based yields, leverage, and protection strategies.
With more than five new applications submitted in a single week, ETFtober is setting the stage for an explosive finish to 2025. Once the SEC resumes normal operations, analysts expect a flood of approvals that could unlock billions in institutional inflows.
For now, ETFtober stands as a testament to the unrelenting growth of the digital asset ecosystem. Whether through staking, leverage, or yield optimization, the message is clear: the next wave of crypto ETFs is here, and it’s reshaping the investment landscape faster than regulators can keep up.
Disclaimer: Parts of this article were generated with the assistance from AI tools and reviewed by our editorial team to ensure accuracy and adherence to our standards.
