ProShares, a well-known issuer of exchange-traded funds (ETFs), has submitted a proposal to list and trade spot Ethereum (ETH) ETF shares on the New York Stock Exchange (NYSE). The ProShares Ethereum ETF will utilize Coinbase Custody Trust Company for ETH custody, as stated in the filing with the United States Securities Exchange Commission (SEC). The asset manager clarified that they will not be involved in Ethereum staking activities.
According to Crypto.news, potential spot Ethereum ETF issuers have made changes to their filings to exclude staking components in order to align with the SEC’s stance on staking for spot Ethereum ETFs. While this may affect investors seeking additional yield from staking rewards, the approval process for these ETFs is underway, with a potential approval expected by late July 2024.
ProShares recently introduced two Ethereum-linked ETFs, ProShares Ultra Ether ETF (ETHT) and ProShares UltraShort Ether ETF (ETHD), which will be listed on the NYSE on June 7. ProShares made headlines in 2021 with the launch of the first Bitcoin-linked ETF, the Bitcoin Strategy ETF (BITO), which invests in futures contracts. Unlike other major asset management firms, ProShares has not pursued a spot Bitcoin (BTC) ETF.
Approval for the spot Ethereum ETFs is pending, with analysts predicting final approval in July 2024. These ETFs are anticipated to offer investors new levels of flexibility in navigating the volatile crypto market. Meanwhile, the Bitcoin ETF has seen significant inflows, attracting $2.4 billion in assets over the past 15 days.