Schwab Crypto ETF Adds AI Label, Trump Media Climbs to No. 2

Schwab renamed its crypto stock ETF on July 28. The new name points to the software that picks the holdings. That software’s second-largest pick was Trump Media & Technology Group.

The ticker stayed STCE, while the fee stayed at 0.30%, but the fund’s new legal filing added something the old one lacked. People now double-check what the software chooses.

What Is the Schwab Crypto ETF?

STCE is an exchange-traded fund, or ETF. It started trading on August 4, 2022, does not buy Bitcoin but can buy shares in companies tied to crypto. Miners, exchanges, and payment firms.

The filing bans the fund from owning crypto directly. Schwab reported $298.2 million in assets and 43 holdings as of June 23. It sits alongside a growing shelf of Bitcoin miner ETF products.

The old name was the Schwab Crypto Thematic ETF. The new one adds three words. Natural Language Processing (NLP). That phrase means software that reads text. It hunts for keywords in company filings and reports.

What Actually Changed in the Filing?

Most of it did not change. Same goal, same fee, and same stock list, called the Schwab Crypto Thematic Index.

But read the 2022 and 2026 filings side by side. Three things are new.

What Changes in Schwab’s Crypto ETF Filing

The 2022 filing buried the software in one step. The 2026 filing puts it front and center.

Schwab also added a fresh warning. The human review can miss the mark too. That line does not appear in 2022.

The holdings drifted as well. Software companies grew from 27.3% of the list to 61% in four years. Finance firms fell from 40.8% to 26%. The fund swapped out 62% of its portfolio last year.

Some of that tracks how mining stocks chased AI contracts.

Why Did Schwab Rename It Now?

Schwab has not said. But the regulator’s calendar lines up neatly.

The SEC has a rule about fund names. If a name promises a focus, the fund must put 80% of its money there. The agency updated that rule in September 2023.

In March 2025, the SEC pushed the deadline for big fund families to June 11, 2026.

Then came the useful part. On Feb. 18, 2026, SEC staff published new guidance. It said names that describe a method do not trigger the 80% rule. Terms like long/short or hedged.

Natural language processing is a method. It is not a holding.

Schwab filed the name change on July 13. That is about a month after the deadline.

How the Schwab ETF Rename Lines Up With the SEC Calendar

One caution here. Schwab has not linked these events. The rule did not force the change. This is a timeline, not a proven cause.

Why Is Trump Media the No. 2 Holding?

Schwab publishes the stock list. The July 28 version is public.

Bitdeer Technologies sits first at 5.96%. Trump Media comes second at 5.77%. CleanSpark, Core Scientific, and Hut 8 follow.

The list holds just 35 names. The rules allow up to 50. Five weeks earlier, Schwab reported 43 holdings.

So why is Trump Media there? The company runs Truth Social. It also built a bitcoin treasury. Its disclosed Trump Media bitcoin holdings give a keyword scan plenty to find.

The filing admits this can happen. It warns the method may pick companies whose main business has little to do with crypto.

Miners fill most of the rest. Anyone comparing crypto mining stock returns with owning coins gets a social media stock in the same basket.

The stock list gets rebuilt every three months. The next rebuild is the first with the human check written into the rules.

Two questions stay open. Will Trump Media hold second place? And will Schwab explain a rename it has only announced?

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