Ethereum ETFs Approved by SEC, Bringing Popular Funds to Second-Largest Cryptocurrency
The SEC just gave final approval to ether ETFs. (Nikhilesh De/CoinDesk)
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Ether ETFs
The SEC just gave final approval to ether ETFs. (Nikhilesh De/CoinDesk)
The launch of the spot ether exchange-traded funds (ETFs) could be rather underwhelming, one crypto firm says, while another predicts inflows will be lower than expected. (Getty Images)
Spot ether exchange-traded fund (ETF) issuers have submitted their final documents needed in order to launch the funds next week.
Prospective issuers of a spot ethereum {{ETH}} exchange-traded fund (ETF) were told by the Securities and Exchanges Commission (SEC) on Monday that the funds can begin trading next Tuesday, a source told CoinDesk.
Spot ether ETF issuers have started revealing their management fees on their proposed products. (Joseph Sohm/Shutterstock)
Prospective providers of spot ether ETFs in the U.S. removed the provisions for staking from their applications to avoid potential regulatory roadblocks.
Cathie Wood’s Ark Invest was the first company to seek permission to create a spot ether ETF in September, a pioneer who blazed the trail before a wave of other high-profile applicants. It has since dropped out of the race, likely because of the incoming intense fee battle, experts say.
ETH will start outperforming bitcoin following the ETF launch after almost two and a half years of underperformance, the report said.
Volatility Shares’ 2x Ether Strategy ETF (ETHU) will become the first leveraged crypto ETF available in the United States after the U.S. Securities and Exchange Commission (SEC) let it go effective, the company posted on their website, adding that trading will begin on June 4.
Was the decision politically motivated? What does it mean for Ethereum going forward? Will other leading chains benefit too?