ProShares Submits 11th Ether ETF Application Amidst SEC Filing Frenzy

In the fast-paced world of crypto ETF applications, ProShares has made its mark with a recent filing for an equal-weight Bitcoin and Ether exchange-traded fund. The United States Securities and Exchange Commission (SEC) has experienced an overwhelming influx of Ether futures ETF applications, with a staggering 11 filings submitted in less than a week.

On August 3, ProShares submitted its latest ETF application, proposing an equal weight Bitcoin and Ether ETF. The primary objective of this fund is to track the performance of holding long positions in the nearest maturing monthly bitcoin and ether futures contracts.

UPDATE: Another one…. 11 ETFs Filed… Proshares filed for a 4th ETF with Ethereum futures. This one is an equal weight #Bitcoin & #Ethereum ETF just like Bitwise’s filing which dropped an hour ago. https://t.co/vB05Wvt33e pic.twitter.com/u3I3LzznGZ

— James Seyffart (@JSeyff) August 3, 2023

ETF analyst James Seyffart from Bloomberg reported that ProShares has made a total of four separate filings for Ether-based ETFs within a few days. These filings include a dual Bitcoin and Ether futures strategy ETF, a short Ether Strategy ETF, and an Ether strategy ETF.

We have 7 #Ethereum Futures ETF filings from 6 Issuers. All of them are behind Volatility Shares. Key aspect here is that they are the same firm that managed to get a 2X #Bitcoin Futures ETF ( $BITX) through this SEC. https://t.co/dVpBkmtWwv pic.twitter.com/m615PS8Ssc

— James Seyffart (@JSeyff) August 2, 2023

Notably, all the recent Ether-related ETF filings have been for futures ETFs, which were initiated by Volatility Shares’ filing for the Volatility Shares Ether Strategy ETF on July 28. Following this, other prominent firms like Bitwise Asset Management, Roundhill Financial, Van Eck, ProShares, and Grayscale Investments filed their respective Ether futures applications on August 1.

While Bitcoin futures ETFs have been in existence since October 2021, the SEC has never approved an ETF that tracks Ether futures contracts. However, this recent flurry of applications indicates a growing interest in Ether-focused investment products.

If the SEC does not deny any of the applications, the Ether ETFs are scheduled to launch 75 days from their respective filing dates. The Volatility Shares ETF is expected to be the first to launch on October 12.

Read More: Spot Bitcoin ETF Approval Chances Rises

Key Takeaways:

ProShares has filed its 11th Ether ETF application, adding to the growing number of Ether-focused investment products.
The recent wave of Ether ETF filings comprises futures ETFs, unlike Bitcoin ETFs, which have been available since October 2021.
If approved, the Ether ETFs are expected to launch within 75 days from their filing dates.

The Difference Between Futures and Spot ETFs

One significant difference between futures and spot ETF products lies in how they track the underlying asset’s price. Futures ETFs follow the price of futures contracts, while spot ETFs involve the issuer purchasing the actual underlying asset. As a result, spot ETFs are often considered more valid as they involve direct ownership of the asset by the fund manager.

Additional Read: Ethereum Price Prediction

Conclusion

The surge of Ether-based ETF applications reflects the growing interest in crypto investment products. With ProShares leading the charge with multiple Ether ETF filings, how the SEC will respond to this flurry of applications remains to be seen. Investors are keeping a close eye on the developments as they eagerly anticipate the potential launch of these Ether ETFs.

Source: Cointelegraph

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