First Ethereum Futures ETF to Debut in October, SEC Signals Approval

    Published on:

    The SEC has green-lit the first-ever Ethereum futures ETF, marking a major milestone for the cryptocurrency industry. Valkyrie’s listing, expected in October, signals a tipping point for Ethereum investors.

    The U.S. Securities and Exchange Commission (SEC) is expected to approve the first-ever Ether futures-based Exchange Traded Fund (ETF), a landmark for the cryptocurrency industry.Street bloomberg, approval is likely in October, offering several companies including Volatility Shares, Bitwise, Roundhill and ProShares the opportunity to launch these products. These companies have long sought to offer Ether futures-based ETFs.

    The regulator, the SEC, has previously resisted allowing ETFs based directly on cryptocurrencies, but has allowed trading in funds containing bitcoin futures contracts traded on the Chicago Mercantile Exchange (CME). I started. The move has fueled speculation that a similar product based on CME-traded Ether futures could be next.

    shutter stock

    Rise of Ether Futures ETFs

    Despite the buzz, SEC approval of products containing Ether derivatives has been slow. This development is significant as data shows that Bitcoin, the world’s largest cryptocurrency, has a market cap of around $506 billion, while Ether has a market cap of $199 billion. coin market cap.

    However, the SEC has had concerns about the transparency and information presented in documents. Documents to be submitted Filed by an asset manager seeking to launch a Bitcoin ETF. Asset managers are eagerly awaiting the SEC’s response on its decisions on ETFs that are directly linked to Bitcoin.

    High-stakes legal battle

    According to relevant reports, the attention of the financial world is currently focused on the following incidents: grayscale Investments vs. SEC, a lawsuit that has the potential to reshape the cryptocurrency market. Grayscale Investments has challenged the SEC’s decision to deny its Bitcoin Trust ETF application. in March 2023 hearingGrayscale argued that the SEC’s decision contradicts a previous order regarding the approval of the GBTC Spot Bitcoin ETF.

    SEC representatives are under intense scrutiny over the reasons for the denial. Bloomberg legal analysts believe Grayscale has a strong case and a 70% chance of winning.

    Judgment on the case has been stayed twice and is now scheduled for August 22nd. Avid investors and industry experts are wondering how the decision will affect the cryptocurrency ecosystem.

    Industry reaction

    Ark Invest CEO Kathy Wood said the SEC would not approve individual bitcoin ETFs for companies. Ark Invest is currently awaiting a spot price Bitcoin ETF decision. Wood believes that if the SEC approves a Bitcoin ETF, it will approve multiple ETFs at once.

    Asset managers include Ether Strategy ETF, Bitwise Ethereum Strategy ETF, Roundhill Ethereum Strategy ETF, VanEck’s Ethereum Strategy ETF, ProShares Short Ethereum Strategy ETF, Grayscale Ethereum Futures ETF, etc. , has proposed several ETFs.

    The approval of the first Ethereum futures ETF, expected in October, signals a tipping point for Ethereum investors. Valkyrie listingis scheduled for October and marks an important step in advancing the adoption of cryptocurrencies in traditional financial markets. The SEC’s green light for the ETF gives investors a new way to gain exposure to Ethereum, diversify their portfolios, and expand their investment options.

    post First Ethereum futures ETF to debut in October, SEC approval signal first appeared on MetaNews.


    Leave a Reply

    Please enter your comment!
    Please enter your name here