A new crypto dawn as President Trump’s truth social enters the crypto space with two hot crypto ETF listings
A new crypto dawn as President Trump’s truth social enters the crypto space with two hot crypto ETF listings
By Christopher Tahir, Senior Financial Markets Strategist at Exness
Web Desk | 8:36 PM | August 14, 2025
Truth Social Makes a Bold Move into Crypto ETFs
On July 7, the US Securities and Exchange Commission (SEC) officially acknowledged Truth Social’s submission for a dual Bitcoin-Ether exchange-traded fund (ETF). The social media platform, managed by US President Trump’s media company, had initially filed the application on June 16, 2025. While the announcement raised eyebrows among the public due to potential conflicts of interest, the crypto community welcomed it as a significant step for the digital asset ecosystem.
The involvement of a high-profile political figure adds credibility to the crypto space, potentially paving the way for future initiatives and mainstream adoption of digital assets.
Current Crypto Market Context
The timing of the dual crypto ETF filing coincides with a surge in corporate interest in Bitcoin. During Q2 2025, companies collectively added 159,107 BTC to their balance sheets, valued at approximately 17.6 billion USD at current prices. This represents a 23.13% quarter-on-quarter increase, pushing total corporate Bitcoin holdings to 847,000 BTC – about 4% of the total 21 million BTC supply, according to Bitwise Asset Management.
By the end of the quarter, institutional holdings reached a valuation of 91 billion USD, reflecting a 60.93% increase compared to the previous quarter. Bitcoin's price hit a record high above 112,000 USD on July 9 before a slight correction to 110,877.90 USD and later surged to a new peak of 123,200 USD on July 14.
ETF Structure and Volatility Management
What sets the Truth Social crypto ETF apart is its use of the CME CF Bitcoin Reference Rate and the Ether Reference Rate for daily net asset valuation. This ensures price movements of Bitcoin and Ether are accurately mirrored in the ETF, offering transparency and real-time alignment with the market.
The ETF’s design and high-profile backing could attract both institutional investors and individual traders. Increased liquidity from these investments may contribute to reduced volatility, creating a more stable environment for crypto markets over the medium and long term.
Regulatory and Compliance Implications
The SEC’s review process will play a pivotal role in shaping crypto regulations. Once the ETF application is acknowledged, a 240-day decision period begins, during which regulators assess the ETF’s structure, custody arrangements, and potential market impact. Clear and transparent custody methods are essential to ensure investor confidence, and the process underscores the importance of limiting discretionary powers within the fund.
New Crypto ETF Filing – Expanding the Portfolio
Shortly after the SEC acknowledged the first application, Truth Social filed a second ETF application on July 8. This new S-1 registration includes BTC, ETH, SOL, XRP, and CRO, with an initial allocation of 70% Bitcoin, 15% Ether, 8% Solana, 5% Cronos, and 2% Ripple. Named the Truth Social Crypto Blue Chip ETF, it is sponsored by Yorkville America Digital and custodied by Forix DAX Trust.
If approved, the ETF will trade on the NYSE Arca exchange and provide passive exposure to top-performing crypto assets. Investors will benefit from market performance without directly owning the underlying cryptocurrencies.
Market Reaction and Investor Sentiment
The announcement sent ripples through crypto markets. Solana surged 1.35% to 154.13 USD, while XRP jumped 3.58% to 2.37 USD. Crypto ETFs experienced inflows as investors anticipated a renewed bull run. On July 10, total cash inflows reached 1.17 billion USD, with 448 million USD from BlackRock’s iShares Bitcoin Trust ETF (IBIT) and 324 million USD from Fidelity’s Wise Origin Bitcoin Fund. Ether ETFs also saw net inflows of 383.1 million USD, marking the second-largest inflow in crypto ETF history.
Looking Ahead: The Future of Crypto ETFs
Whether this momentum continues depends on regulatory approvals and geopolitical influences. However, one trend is clear: spot crypto ETFs are rapidly becoming mainstream financial instruments, opening new avenues for investors and signaling a major evolution in digital asset adoption.
