T. Rowe Price has launched what it calls the first actively managed multi-token spot crypto ETF, offering investors diversified exposure to a range of digital assets through a single vehicle.

The T. Rowe Price Active Crypto ETF (TKNZ) began trading Thursday, marking a notable step for the $1.9 trillion Baltimore-based asset manager as it expands its footprint in the crypto sector.

Unlike the spot bitcoin and ether ETFs that have dominated the market, TKNZ is structured to hold a diversified basket of cryptocurrencies, including bitcoin, ether, BNB, XRP, Solana (SOL), and Hyperliquid (HYPE).

The fund stands out for its active management strategy. Rather than tracking a fixed index, portfolio managers can adjust allocations based on market conditions, research, and risk assessments. T. Rowe Price says this flexibility is designed to capture shifts in market leadership as capital flows between different crypto assets.

The launch comes as asset managers continue to broaden their crypto offerings beyond single-token products. Earlier this month, BlackRock introduced a bitcoin income ETF that seeks to generate yield using options strategies, highlighting the growing shift toward more specialized investment vehicles.

Actively managed crypto funds may help investors navigate volatility and rapidly changing trends, though critics argue they often come with higher fees and must outperform passive alternatives to justify their costs.

TKNZ carries a net expense ratio of 0.75% through May 2027 under a temporary fee 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, alongside four co-portfolio managers. Since 2022, Macellari has led the firm’s digital asset strategy, overseeing research into cryptocurrencies, blockchain protocols, and related investments.

The launch follows years of preparation, including the development of proprietary trading infrastructure and partnerships with institutional service providers to support crypto trading and operations.

With TKNZ, T. Rowe Price is positioning itself to compete in an increasingly sophisticated crypto investment landscape.