The Securities and Exchange Commission is currently considering introducing spot bitcoin ETFs and ether futures funds to the market. In response, Ark Invest and 21Shares have filed for their own spot ether offering, known as the Ark 21Shares Ethereum ETF. This move represents a rare bid for such a product in the US and showcases the firms’ commitment to expanding their crypto product lineup.
Unlike recently filed-for ether futures ETFs, the proposed Ark Invest and 21Shares offering would hold ether directly. With ETH’s market capitalization standing at around $195 billion, it is second only to bitcoin in the crypto sphere, which boasts a $500 billion market cap. If approved, the new fund would trade on the Cboe BZX Exchange, although specific details such as ticker symbol and fees have not been disclosed.
Recent developments suggest that now is an opportune time to explore ether products, as the SEC appears to be more open to considering such offerings following a recent court loss to Grayscale Investments. This follows a trend of regulatory shifts in other jurisdictions, such as Canada, which approved a spot ether ETF earlier this year.
Ark Invest and 21Shares have been actively pursuing the launch of various crypto funds, including a spot bitcoin ETF and now the spot ether ETF. While the road to approval may not be easy, the firms are determined to build a comprehensive suite of crypto products. This filing for a spot ether ETF is a significant milestone in their efforts to expand their offerings in the market.
Overall, the filing for a spot ether ETF by Ark Invest and 21Shares is a noteworthy development in the crypto space, signaling a growing interest in expanding investment options beyond traditional assets like bitcoin.