Introduction
Bitwise Asset Management has made an exciting announcement, stating that two Ethereum-focused Exchange-Traded Funds (ETFs) will be available for trading starting from October 2, 2023. This decision comes after the company updated its application for the Bitcoin ETF. The launch of these ETFs is seen as a significant milestone for investors.
Accessing Ethereum within the ETF Framework
The Bitwise Ethereum Strategy ETF and the Bitwise Bitcoin and Ether Equal Weight Strategy ETF will enable investors to access CME Ether futures within a regulated ETF framework. For many investors, Ethereum offers a broader portfolio opportunity compared to Bitcoin, and is seen as both an alternative and a conventional growth investment.
Competition in the Ethereum ETF Race
Bitwise is not the only company vying for a spot in the Ethereum ETF market. Invesco, another asset management company, is also exploring the possibility of introducing the Invesco Galaxy Ethereum ETF. This competition highlights the growing interest in Ethereum as an investment asset.
Delays in the Bitcoin ETF Decision
Bitwise, along with BlackRock and Invesco, has experienced delays in the U.S. Securities and Exchange Commission's (SEC) decision regarding their Bitcoin ETF applications. As a result, the chances of a spot Bitcoin ETF receiving approval in 2023 are highly unlikely. However, the outcome of the Grayscale lawsuit, which aims to transform Grayscale Bitcoin Trust into a Bitcoin ETF, may impact the SEC's decision in 2024.
Upcoming Ethereum Futures ETFs
Bloomberg analyst James Seyffart has revealed that 9 Ethereum Futures ETFs are set to receive expedited approval from the SEC and are scheduled for launch on Monday, October 2, 2023. This further demonstrates the growing interest and potential in Ethereum as an investment.
