A lot of excitement is surrounding cryptocurrency investing right now because it looks like Ethereum futures exchange-traded funds (ETFs) are about to become live. The well-known financial firm VanEck has disclosed that it intends to launch the EFUT Ethereum ETF, which will be listed on the Chicago Board Options Exchange.
Ethereum Futures ETFs on the Horizon,Ethereum Futures ETFs on the Horizon
The idea that Ethereum futures ETFs would launch earlier than expected is very exciting. Two TV commercials published by VanEck have been cited by Bloomberg ETF experts Eric Balchunas and James Seyffart as possible signs of an expedited launch date. Seyffart notes that although a paper dated September 29th previously indicated a 60-day wait time, the new ETF might be offered as early as October 2.
The U.S. Securities and Exchange Commission (SEC) seems to be expediting the clearance process for these ETFs, according to Seyffart as well. This suggests that Ethereum futures ETFs may arrive quickly, surprising a lot of people.
Balchunas anticipates that as ETF approvals keep coming through, issuers will step up their marketing campaigns. In the case of spot Bitcoin ETFs, this tendency may become particularly noticeable and result in what he calls a “unprecedented” marketing battle. A number of ETFs with comparable features can debut at the same time, boosting market competition.
Seyffart had earlier predicted that the SEC may approve multiple Ethereum futures ETFs for debut the following week, which raised expectations. This forecast could have been made in response to worries that the US government might soon shut down, which pushed regulatory bodies to make decisions more quickly.
The fact that there are already 15 Ether futures ETFs awaiting clearance from nine different issuers highlights the high level of demand in this type of investing.
Although there appears to be movement towards Ethereum futures ETFs, the SEC has decided to postpone making a judgement on Ethereum spot ETF applications. This is a development that is similar to the recent delay in judgements for Bitcoin exchange-traded funds.
The application review period for 21Shares and Cathie Wood’s ARK Invest was extended by the SEC, and the new deadline is December 26. These delays are consistent with those seen in the space of Bitcoin exchange-traded funds.
Citing Section 19(b)(2)(B) of the Act, the SEC stated that it has initiated procedures to decide whether to approve or disapprove the proposed rule modifications.
Following a hearing before a US Congress committee when SEC Chairman Gary Gensler was subjected to cross-examination, there have been these delays. During the hearing, Gensler questioned the way cryptocurrency firms manage the money of their clients and chastised the practise of commingling assets, claiming it would have negative effects.
While acknowledging that Bitcoin is not a security, Gensler declined to determine whether or not it qualifies as a commodity. In addition, he stated that the Commission has not yet followed the court’s ruling on its Grayscale judgement.
The U.S. Congress had pushed Gensler to approve the Bitcoin spot ETF immediately, but in the end, the SEC turned down their request. During Gensler’s questioning, market participants had anticipated a more positive position towards Ethereum; nevertheless, the SEC’s ruling did not meet those expectations.
To sum up, it looks that Ethereum futures ETFs will arrive soon, maybe even sooner than most people had predicted. Analyst proposals for an early launch date reinforce the significance of VanEck’s EFUT ETF listing on the Chicago Board Options Exchange. But Ethereum spot ETF decisions are still being delayed, mirroring the same delays in the Bitcoin space.
The SEC’s cautious stance and regulatory concerns highlight how the market for bitcoin investment products is changing.
Ethereum Futures ETFs on the Horizon,Ethereum Futures ETFs on the Horizon,Ethereum Futures ETFs on the Horizon,Ethereum Futures ETFs on the Horizon