T. Rowe Price, the 87-year-old investment firm known for its mutual funds, is getting into cryptocurrencies.
On Wednesday, the company filed an S-1 form with the U.S. Securities and Exchange Commission (SEC) to launch the T. Rowe Price Active Crypto ETF.
The S-1 is a key regulatory filing that indicates a company’s intention to list a new product, often used before a public offering. In this case, the ETF would give investors active exposure to digital assets, a notable shift for a company that manages more than $1.8 trillion, largely through conservative investment vehicles like mutual funds.
“I didn’t expect it, but I understand. There will be a rush into this space too,” Eric Balchunas, senior ETF analyst at Bloomberg Intelligence, said in a post on X on Wednesday.
But T. Rowe Price has been showing interest in cryptocurrencies for some time. At an ETF conference in Las Vegas earlier this year, Dominic Rizzo, who manages the firm’s technology-focused ETF, said now is a good time to consider exposure to bitcoin. He compared the price of the cryptocurrency to that of a commodity, saying he closely follows the cost of mining it.
If approved, the fund would join a growing list of cryptocurrency-related ETFs that are trying to capture investor demand without offering direct ownership of the coins. The active approach can also allow fund managers greater flexibility in navigating volatile markets.
