T. Rowe Price has rolled out what it calls the industry’s first actively managed multi-token spot crypto ETF, giving investors diversified exposure to digital assets through a single fund.
The T. Rowe Price Active Crypto ETF (TKNZ) began trading Thursday, offering a portfolio of cryptocurrencies rather than focusing on just one. The launch marks a major step for the $1.9 trillion Baltimore-based asset manager as it deepens its push into the digital asset market.
Unlike the spot bitcoin and ether ETFs that have led the market in recent years, TKNZ is built around a diversified basket of tokens. Its holdings include bitcoin, ether, BNB, XRP, Solana (SOL), and Hyperliquid (HYPE), among others.
What sets the fund apart is its active management approach. Instead of tracking a static index, portfolio managers can shift allocations based on market conditions, research, and risk considerations. T. Rowe Price says this flexibility is designed to capture changes in market leadership as capital flows between different cryptocurrencies.
The debut comes as asset managers expand beyond single-token crypto products. Earlier this month, BlackRock introduced a bitcoin income ETF aimed at generating yield through options strategies, signaling a broader move toward more specialized offerings as the crypto market matures.
Actively managed crypto funds could help investors navigate volatility and fast-changing trends, though critics argue they often come with higher fees and must consistently outperform passive funds to justify those costs.
TKNZ carries a net expense ratio of 0.75% through May 2027 under a temporary waiver, after which it is expected to rise to 0.90%.
The fund is managed by Blue Macellari, T. Rowe Price’s head of digital assets, along with four co-managers. Since 2022, Macellari has led the firm’s crypto strategy, overseeing research into digital assets, blockchain technologies, and related investment opportunities.
The launch follows years of preparation, including building proprietary trading infrastructure and partnering with institutional service providers to support crypto trading and operations.
With TKNZ, T. Rowe Price is positioning itself to compete in a growing market for more sophisticated crypto investment products.
