The United States Securities and Exchange Commission (SEC) is likely to approve multiple applications for Ether futures exchange-traded funds (ETFs) at the same time, according to sources familiar with the matter.
Since July, the SEC has received numerous applications from investment firms for Ether and Bitcoin-Ether futures ETFs. Unlike in 2021 when similar applications were instructed to be withdrawn, the SEC has not made such requests this time. This suggests that the regulator is open to the possibility of approving these funds in the coming weeks.
There are currently 16 applications awaiting regulatory approval for Ether or Bitcoin-Ether futures ETFs. Ether is the native coin of the Ethereum blockchain and is used for peer-to-peer transactions within the decentralized network. A crypto futures ETF tracks the performance of futures contracts tied to the price of digital assets, such as Bitcoin or Ethereum.
Valkyrie Leads the Race with Ether Futures ETF Filing
Asset management firm Valkyrie has filed for an Ether futures ETF, becoming the frontrunner in the race for approval. Valkyrie also submitted a previous application combining a Bitcoin-Ether futures strategy. If approved, Valkyrie's BTC-ETH ETF could debut as early as October.
First-Mover Advantage in ETF Industry
In the ETF industry, being the first to launch a new product is crucial. The first futures Bitcoin ETF, approved by ProShares in October 2021, has already accumulated $1 billion in assets under management. Valkyrie's similar product, which launched a few days later, has gathered nearly $28 million in assets under management.
Spot Bitcoin ETF Decision Still Pending
The SEC has yet to decide whether it will approve a spot Bitcoin ETF in the United States. Wall Street giants, including Fidelity and BlackRock, are among the players awaiting approval. The SEC has until January to deliver its final verdict, according to the application's timeline.
