You can check the website statistics yourself or request them from us at [email protected]
On this platform, only organic high-quality traffic
Bitcoin
30,725

ARK Invest Drops Partnership with 21Shares for Proposed Ethereum Fund

Ark Investment Management, led by Cathie Wood, has opted out of the competition to introduce an exchange-traded fund (ETF) focused on investing directly in Ether, the second-largest cryptocurrency.

The updated prospectus, officially known as Form S-1, was submitted to the US Securities and Exchange Commission (SEC) on Friday. It disclosed the removal of Ark’s involvement from the application for the Ether ETF, which was initially filed in collaboration with 21Shares.

As a result, the fund’s name has been altered from Ark 21Shares Ethereum ETF to 21Shares Core Ethereum ETF.

Ark Remains Committed to Bitcoin Fund

Following its collaboration with 21Shares to successfully launch spot-Bitcoin ETFs earlier this year, Ark’s decision to step back from the Ethereum ETF comes as a notable move.

However, Ark maintains its dedication to its Bitcoin ETF, the $3.2 billion ARK 21Shares Bitcoin ETF (ticker ARKB), currently ranking fourth in terms of assets among Bitcoin ETFs.

The SEC’s unexpected approval of the 19b-4 filings by exchanges such as Cboe Global Markets Inc., Nasdaq, and the New York Stock Exchange to list spot-Ether ETFs generated significant market anticipation. Nonetheless, issuers await the SEC’s approval of their S-1 statements before trading can commence.

In light of these recent developments, 21Shares has expressed enthusiasm regarding the SEC’s approval and has reiterated its commitment to expanding cryptocurrency access as an asset class for US investors.

They also emphasized their ongoing partnership with Ark on the ARK 21Shares Bitcoin ETF, which debuted in January, alongside their current range of futures products.

Numerous other issuers, including Franklin Templeton, Fidelity Investments, VanEck, and Invesco Ltd., have submitted revised S-1 statements, indicating their intent to introduce Ether ETFs.

However, the SEC’s verdict on these filings is still pending.

In the meantime, Franklin Templeton has updated its filing with specifics about its proposed fund, including a planned fee of 0.19%, with the waiver extending for the first six months on the initial $10.0 billion of the ETF’s assets.

Significantly, Wood’s Bitcoin ETF witnessed its most substantial one-day outflow since its inception earlier this year, with nearly $100 million exiting the fund.

Ethereum ETF Approval Was Political

According to Bloomberg ETF analyst James Seyffart, the approval of spot Ethereum ETFs likely stemmed from political considerations rather than solely financial factors.

In a recent interview, Seyffart proposed that the political landscape, including actions by the Biden administration and responses from the crypto community, significantly influenced the approval process.

While Bitcoin and Ethereum have gained approval, Seyffart believes that other crypto ETFs, like Solana, will face hurdles without substantial regulatory changes. He emphasized the necessity of a regulated market to oversee these assets for fraud and manipulation.

On the contrary, crypto investor and trader Brian Kelly has suggested that Solana could emerge as the next cryptocurrency to secure a spot ETF in the United States.

During a recent segment of CNBC’s ‘Fast Money,’ Kelly, who also serves as the founder and CEO of the BKCM Digital Asset Fund, posed the question, “The trade now is, who’s next?” He speculated, “You’ve got to think about Solana as probably the next one. Bitcoin, Ethereum, and Solana are probably the big three for this cycle.”

Related Posts

Leave a Reply

Confirm now and stay with our news

What we write about

I want to save money. Will cryptocurrency work?

Cryptocurrency is essentially virtual money that operates in a decentralized manner, not through a bank but directly on multiple independent computers.

Every cryptocurrency has two main components: the units of digital exchange called “coins” and the network within which the exchange takes place. These units can be transferred between wallets and exchanged on exchanges. The networks in which these coins exist are called blockchains, which translates to “chains of blocks.”

Latest Articles

More Hong Kong Brokerages Are Providing Crypto Trading Services
14.06.2024By
Holograph Protocol Faces Exploit, Hacker Mints 1 Billion Native HLG Token
14.06.2024By
Millions of Shopify Merchants Can Accept Hundreds of Cryptos as Helio Upgrades Solana Pay Plugin
14.06.2024By

Latest news

More Hong Kong Brokerages Are Providing Crypto Trading Services
14.06.2024
Holograph Protocol Faces Exploit, Hacker Mints 1 Billion Native HLG Token
14.06.2024
Millions of Shopify Merchants Can Accept Hundreds of Cryptos as Helio Upgrades Solana Pay Plugin
14.06.2024
Spot ETH ETF Approvals Slated For This Summer, SEC Chair Gary Gensler Says
14.06.2024
Spot Bitcoin ETFs Witness $226M in Outflows, Marking Third Consecutive Day of Exodus
14.06.2024
MicroStrategy Increases Its Convertible Debt Sale By Another $200 Million To Buy More Bitcoin
14.06.2024
Near Foundation Spins out Nuffle Labs and Raising $13M Funding
13.06.2024
May Sees $1B in Crypto Investments, Slightly Down from Previous Month: KuCoin
13.06.2024
MoonPay and PayPal’s Partnership Expands to EU and UK
13.06.2024
Large South Korean Retailers Shut Down NFT Operations
13.06.2024