Valkyrie makes an unexpected move in offering US investors exposure to Ethereum futures.
Valkyrie, an asset management firm, is taking steps to offer US investors exposure to Ether (ETH) futures via its existing Bitcoin Strategy exchange-traded fund (ETF).
The development marks Valkyrie as one of the first in the industry to make this move, even as the US Securities and Exchange Commission (SEC) has yet to finalize its stance on spot Bitcoin ETFs.
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Starting on October 3rd, Valkyrie's Bitcoin Strategy ETF will undergo a name change to the Valkyrie Bitcoin and Ether Strategy ETF. According to a spokesperson from Valkyrie, the revamped ETF will provide a unified platform for investors interested in Bitcoin and Ether futures.
Interestingly, as of the reporting date, the SEC has not released a proposed rule modification that would authorize the new Ether futures ETF to be listed on the Nasdaq Stock Exchange. However, it issued an order calling for "additional analysis" of Valkyrie's existing Bitcoin fund, a spot BTC ETF.
Valkyrie has been proactive in its approach to cryptocurrency-based funds. On August 16th, the company submitted an application to the SEC for a fund that wouldn't directly invest in Ether but instead engage in ETH futures contracts.
Valkyrie was among the first firms in the US to introduce an ETF tied to BTC futures and a Bitcoin Miners ETF that tracks companies profiting from crypto mining.
James Seyffart, an analyst at Bloomberg Intelligence, speculated that Ether futures ETFs could start trading as early as the first week of October. This projection also comes amid concerns about a potential US government shutdown, which could reduce federal agencies like the SEC to minimal operations.
In related news, the SEC has not yet given the green light to any spot crypto ETFs in the US. However, many anticipate a shift in the commission's perspective, especially after Grayscale Investments obtained a court review for its spot BTC ETF.
Valkyrie is paving the way for a broader range of investment opportunities in the crypto asset space by offering Ether futures in its updated ETF. This move, made despite awaiting SEC approvals for new crypto offerings, highlights the firm's innovative approach and could signify a transformative moment in the US crypto investment landscape.
