ARK Invest and 21Shares continue their efforts to receive the SEC's approval for at least one crypto spot ETF.
ARK Invest, in partnership with 21Shares, has submitted a new filing with the US Securities and Exchange Commission (SEC) for a spot Ether exchange-traded fund (ETF).
The move comes in the wake of the SEC delaying its verdict on various Bitcoin ETF applications, including one proposed by ARK Invest.
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On September 6th, ARK Invest and 21Shares formally asked the SEC for authorization to list the ARK 21Shares Ethereum ETF on the Cboe BZX Exchange.
The proposed investment vehicle aims to offer exposure to Ether (ETH) and will employ Coinbase as its custodian. The ETF's Ether valuation will be indexed to the Chicago Mercantile Exchange CF Ether-Dollar Reference Rate.
This proposal from ARK Invest and 21Shares joins a slew of other spot crypto ETF applications currently under SEC review.
This is the third time since 2021 that ARK Invest and 21Shares have tried to get regulatory approval for a spot ETF. The firms also explored Ether-based investment products, proposing two ETH futures ETFs in August. Unlike their spot counterparts, these futures-based ETFs have seen more regulatory favor, with several gaining approval last year.
In a recent development, asset manager Grayscale won an appeal mandating the SEC to reconsider its Bitcoin Trust’s conversion into a Bitcoin ETF, igniting hope for other asset managers.
Interestingly, the news about the Ether ETF led to a short-lived uptick in Ether’s market value. According to BitDegree data, the cryptocurrency’s price increased by approximately 3%, from $1,623 to $1,669, before settling back to around $1,640.
ARK Invest and 21Shares' new application for a spot Ether ETF indicates their persistence in navigating the regulatory landscape, even as the SEC continues to postpone decisions on similar investment vehicles. With Grayscale’s recent win and a growing lineup of firms awaiting regulatory nod, the crypto community is keenly watching for any shifts in the SEC's stance on crypto ETFs.
