Eva Green
New member
On Monday, the first exchange traded funds with ETC links to Ether futures were made available and provide new means for investors to get exposure to the next biggest crypto market by value. Nevertheless, only a limited amount of trade took place during the launch.
On their first day of trading, six new Ether futures exchange traded funds managed by ProShares, VanEck and Bitwise achieved a combined volume of USD 1.9 million. The ProShares Ether Strategy ETF (EETH), the largest of the new funds, traded more than $870,000 worth of shares.
The modest launch volume pales in comparison to the $1.02 billion traded on the first day of the ProShares Bitcoin Strategy ETF (BITO) in 2021. Nevertheless, in line with the average launch of new funds, ETF analysts point out that there has been a lack of activity.
It is expected that more Ether futures ETFs will be launched in the near future. Last week, Valkyrie Investments postponed the conversion of its bitcoin futures to an ethereum fund as a result of legal delays. There are also Ether futures ETFs registered by other issuers, such as Kelly ETF, Invesco, and others.
Although the exchange traded funds did not perform well in their debut, they represent a major milestone for this sector because it gives investors more options to invest in cryptocurrencies.
Last month, when the D.C. Circuit Court ruled in favor of Grayscale in its application to convert its Grayscale Bitcoin Trust into a spot Bitcoin ETF, the optimistic outlook was followed by a key legal victory. A significant precedent for the industrial sector has been established by this decision.
As of now, the SEC has rejected more than a dozen requests for spot bitcoin ETF based on regulatory concerns such as volatility, liquidity and potential manipulation. But, in conjunction with the Grayscale decision, last month's approval of futures Bitcoin ETF contracts by companies such as VanEck and ProShares seems to suggest that the Agency has warmed up to this idea.
According to Van Eck, the SEC “is relaxing their stance and allowing some of these funds to get to market.” Hougan echoed this, saying “dialogue with the SEC has been improving” and that the agency seems to be “changing its tune.”
It is first time in the history of American mainstream investors that they will be easily able to gain direct exposure to bitcoins via standard brokerage accounts, once an ETF for spot bitcoins has been approved. Also pending with the SEC are applications for spot bitcoin exchange traded funds from other large finance companies such as BlackRock, Fidelity and Invesco.
On their first day of trading, six new Ether futures exchange traded funds managed by ProShares, VanEck and Bitwise achieved a combined volume of USD 1.9 million. The ProShares Ether Strategy ETF (EETH), the largest of the new funds, traded more than $870,000 worth of shares.
The modest launch volume pales in comparison to the $1.02 billion traded on the first day of the ProShares Bitcoin Strategy ETF (BITO) in 2021. Nevertheless, in line with the average launch of new funds, ETF analysts point out that there has been a lack of activity.
It is expected that more Ether futures ETFs will be launched in the near future. Last week, Valkyrie Investments postponed the conversion of its bitcoin futures to an ethereum fund as a result of legal delays. There are also Ether futures ETFs registered by other issuers, such as Kelly ETF, Invesco, and others.
Although the exchange traded funds did not perform well in their debut, they represent a major milestone for this sector because it gives investors more options to invest in cryptocurrencies.
Last month, when the D.C. Circuit Court ruled in favor of Grayscale in its application to convert its Grayscale Bitcoin Trust into a spot Bitcoin ETF, the optimistic outlook was followed by a key legal victory. A significant precedent for the industrial sector has been established by this decision.
As of now, the SEC has rejected more than a dozen requests for spot bitcoin ETF based on regulatory concerns such as volatility, liquidity and potential manipulation. But, in conjunction with the Grayscale decision, last month's approval of futures Bitcoin ETF contracts by companies such as VanEck and ProShares seems to suggest that the Agency has warmed up to this idea.
According to Van Eck, the SEC “is relaxing their stance and allowing some of these funds to get to market.” Hougan echoed this, saying “dialogue with the SEC has been improving” and that the agency seems to be “changing its tune.”
It is first time in the history of American mainstream investors that they will be easily able to gain direct exposure to bitcoins via standard brokerage accounts, once an ETF for spot bitcoins has been approved. Also pending with the SEC are applications for spot bitcoin exchange traded funds from other large finance companies such as BlackRock, Fidelity and Invesco.
