ETF Ethereum Futures Launch with Lackluster Debut

ETF Ethereum futures have had a challenging initial trading period, though it's premature to draw long-term conclusions.

ETF Ethereum futures launch with lackluster debut. Photo: U Today

As of 11:15 PM on October 2nd (Vietnam time), the trading volume for ETF Ethereum futures was approximately $2 million USD, a modest figure compared to the volumes generated by ProShares' Bitcoin ETFs, as noted by Bloomberg analyst Eric Balchunas.

Bloomberg's expert expressed disappointment in comparison to ProShares' Bitcoin ETF:

"The ETF Ethereum futures group traded just under $2 million, a bit low. It's a normal trading volume for a new ETF, but compared to $BITO, which hit $200 million in volume in its first 15 minutes, it's quite low."

Nine newly launched ETF products were provided by six different asset managers and listed on the Cboe exchange. Among them:

• Valkyrie's mixed Bitcoin-Ethereum ETF led with nearly $800,000 USD in trading, capturing 46% of the total volume of the 9 ETFs.
• VanEck's Ethereum futures ETF followed with $305,000 USD (18%).
• ProShares and Bitwise contributed with three ETFs each, accounting for 31% and 4% of the market respectively.
• Notably, ETFs from Kelly and VolShares had yet to record any trades.

Yesterday, Coin68 reported on the launch of 9 Ethereum futures ETFs on October 2nd, marking the first instance of multiple ETFs of the same asset type being listed simultaneously. VanEck, in particular, committed to allocating 10% of EFUT ETF trading profits to Ethereum's Protocol Guild over the next decade.

In contrast, the SEC recently postponed decisions on 8 proposals for Bitcoin spot ETFs from BlackRock, Valkyrie, Invesco, Bitwise, Fidelity, WisdomTree, VanEck, and ARK Invest. This move continues to reflect the SEC's stringent stance on spot ETFs, despite their approval of numerous futures-based ETFs. The SEC has historically cited concerns over fraud and market manipulation in the spot market.

On the evening of October 2nd, Grayscale filed a petition with the U.S. Securities and Exchange Commission proposing the conversion of the Grayscale Ethereum Trust (ETHE) into a spot Ethereum ETF.