The ETF is filed under the same law commodities and spot Bitcoin ETFs are filed, the Securities Act of 1933.
Grayscale has submitted a new Exchange Traded Fund (ETF) to the US Securities and Exchange Commission (SEC). The new ETF is designed to track the value of Ethereum futures contracts.
Grayscale bets on new ETF application
According to a report from the Wall Street Journal, Grayscale Investments, an investment firm, filed a new ETF to monitor Ethereum futures.
The ETF application is filed under the same law commodities and spot Bitcoin ETFs are filed, the Securities Act of 1933.
Grayscale had already filed a separate Ethereum futures ETF under the Investment Company Act of 1940. The act regulates the registration of most securities-based ETF.
The investment firm also has a spot Bitcoin ETF application pending which was subject to a legal tussle with the SEC. Grayscale recently won a declaratory judgement with the court voiding the regulators’ reasons for rejecting the application.
The SEC has previously granted applications for Bitcoin futures ETF. Making the possibility of the approval of Grayscale’s application comfortable.
Ethereum futures ETF don’t bother the SEC
At least 12 applications for Ethereum futures ETF have been made to the SEC. From responses from the agency, there seems to be no hurdles that may prevent their approval. Insiders are hopeful that approval may begin to come through in October.
Applicants including Volatility Shares, Bitwise, ProShares, VanEck, Roundhill, and Valkyrie Investments, have filed for Ethereum futures ETFs so far.
Though the SEC is yet to comment on the applications, for Ethereum futures ETF the coast seems clear.
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