You won't believe what's about to happen in the world of crypto! The U.S. Securities and Exchange Commission (SEC) is expected to give the green light to not one, but several Ethereum futures exchange-traded funds (ETFs) by October. That's right, a dozen companies have submitted applications and the excitement is palpable.
So, what exactly are these ETFs? Instead of tracking the direct price of Ethereum, they will follow the price of Ethereum futures traded on the Chicago Mercantile Exchange. Among the applicants are big names like ProShares, Volatility Shares, Bitwise, and Valkyrie. And while it's not yet clear which ones will be approved, some could receive the go-ahead as early as next month.
But wait, there's more! Valkyrie has two significant applications: a dual Bitcoin and Ether Strategy ETF and an Ethereum Strategy ETF. And Volatility Shares' Ethereum futures ETF is projected to debut around October 11, making it the first pure Ethereum ETF.
Expert ETF analyst Eric Balchunas wasn't surprised by the SEC's expected decision, noting that it shows the SEC's views and policies can evolve. And with fees in the spotlight, Roundhill disclosed a 0.19% management fee for their proposed Ethereum futures ETF, which is notably lower than fees of some Bitcoin futures ETFs, hinting at a budding fee competition in the #crypto ETF space.
But despite all this excitement, Ethereum's price recently dipped, reaching lows unseen since mid-June. ETH's price is down 7% on the day, but don't let that discourage you. Keep your eyes on the market for further developments and get ready for the crypto BOOM!
