VanEck launches VBNB, first U.S. spot BNB ETF

VanEck introduced the VanEck BNB ETF (VBNB) on May 28, the first U.S. exchange-traded product built to provide spot exposure to Binance Coin (BNB). The fund’s BNB holdings will be stored offline in cold storage and overseen by a qualified custodian.

BNB is the native token of the Binance exchange and is used for trading fee discounts, payments, travel bookings and other services. VanEck said BNB ranks among the top five cryptocurrencies by global market capitalization and among the top three by daily active users. The firm reported the BNB blockchain processes more than 14 million transactions per day and supports over 2.5 million daily active users. VanEck also noted the broader BNB ecosystem includes roughly $16 billion in stablecoin supply and about $3.6 billion in tokenized real-world assets.

The ETF provides direct spot exposure to the token inside an exchange-traded vehicle. VanEck described the cold storage custody arrangement as a way to reduce risks from online hacks, exchange failures and malware, with a qualified custodian responsible for overseeing the assets.

Patrick Bush, senior investment analyst at VanEck, said, “BNB has been one of the most resilient major cryptocurrencies through the recent market cycle, roughly flat over the past year while most Layer 1 peers experienced significant drawdowns.” He pointed to the token’s high transaction volumes, active-user base and ecosystem liquidity in stablecoins and real-world assets.

VanEck cited its prior experience operating cryptocurrency funds, including the VanEck Bitcoin ETF (HODL), which launched in January 2024 and manages about $1.2 billion in assets. The firm filed VBNB as an exchange-traded product in the U.S. and positioned the fund within the broader trend of spot cryptocurrency ETFs aimed at providing regulated access to major tokens.

The VBNB listing gives financial advisors and investors an additional way to gain exposure to BNB through an ETF structure rather than buying and storing the token directly. The fund’s custody and operational arrangements are described by VanEck as measures to address custody and operational risks associated with direct cryptocurrency ownership.