Valkyrie To Launch Ethereum Futures ETF, Expands Its Cryptocurrency Options

Valkyrie To Launch Ethereum Futures ETF, Expands Its Cryptocurrency Options

With the impending release of an ETH futures exchange-traded fund (ETF), Valkyrie, a popular participant in the cryptocurrency investment industry, has announced that it will be making (what it termed) a “substantial entry” into the world of ETH futures.

This recent development has occurred following the company’s August 16th application to the United State’s Securities and Exchange Commission (SEC) for a fund that provides exposure to Ethereum through ETH futures contracts. This ETF’s debut, which is expected to happen next Tuesday, is regarded as one of the  significant steps in the ongoing cryptocurrency investment expansion.

Router’s Suzanne Mcgee has explained that the decision by Valkyrie to launch an Ether futures ETF reflects the rising demand for cryptocurrency derivatives as financial instruments. He also revealed that institutional and individual investors have shown a strong interest in Ether.

Another reputable financial company, VanEck, revealed its plans to introduce the VanEck Ethereum Strategy ETF (EFUT) on Thursday. While speaking to Reuters, Steven McClurg, chief investment officer of Valkyrie, announced that the Ether Strategy ETF (BTF.O) and Valkyrie BTC (which were all recently renamed), will be launched on Monday.

Valkyrie Moves Planned, Sets To Expand Offerings In October

The move of Valkyrie to participate in the Ether futures market fits with its overall business plan. The company first came into prominence with its Bitcoin Strategy ETF, which investors embraced. However, Valkyrie will be breaking the record as the first companies to provide investors with extensive exposure to the two most popular cryptocurrencies.

VanEck press release broke the rumours making rounds, clarifying that Launch Ethereum Futures ETF (EFUT) is not directly investing in Ethereum or its equivalents. It revealed that the fund will invest in standardized cashable Ethereum features contracts that are traded on the commodity market and registered under the supervision of the Commodity Futures Trading Commission (CFTC).

Another influencer, Seyffart, also posted on X, saying that this move clarifies the rising number of applications. Seyffart gave a complete list of ETH funds, which is said to be launched on Monday, adding that more companies could join today.

Valkyrie Release Statement, As Other Companies Pick Interest

Analyzing this trend, Jordan Finneseth, a freelance cryptocurrency analyst, said that Valkyrie’s impending release of an Ether futures ETF is a big move for cryptocurrency investors. The action underlines the growing need for regulated cryptocurrency investment products and gives investors more ways to participate in the developing Ether market.

In a press release by Valkyrie, Valkyrie Funds has stopped the purchase and is unwinding any Ethereum features contracts structures until the efficiency of the amendment to the Valkyrie BTC Strategy ETF’s licensing is done.

Before the press statement on the extra Ethereum features contracts, the company had advised their customers to disregard the news on the proposed futures at the time being. ProShares had also joined the move to venture into the Ether ETF business. ProShares is preparing to move into the market on Monday with three Ether ETFs priced at 95bps.

According to Balchunas, an industry influencer, who posted on his X handle, other companies that are looking to join the business include Bitwise, which plans to enter the market with two EFTs, priced 85bps, VanEck, and one ETF at 66bps – summing it up to 6 ETFs.

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Jesse Rosenbalm
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Jesse Rosenbalm

Jesse Rosenbalm stands out in the crypto journalism realm, seamlessly blending intricate blockchain concepts with accessible prose. Known for his deep dives and accurate forecasting, Jesse's articles are a must-read for both novices and experts. As crypto trends shift, his insightful writings remain a beacon in the digital currency space.

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