In a first in the exchange-traded fund (ETF) industry, Valkyrie’s Bitcoin Strategy ETF has started investing in ether futures contracts, setting a precedence for others to follow.
The Valkyrie Bitcoin Strategy ETF stepped into the Ether futures market on Thursday. This move comes after Valkyrie filed with the Securities and Exchange Commission (SEC) in August, requesting a modification to its Bitcoin Strategy ETF. The modification was to include ether futures contracts in addition to existing bitcoin futures. The newly modified investment strategy is set to be officially effective from Oct. 3.
Valkyrie has renamed its fund to the Valkyrie Bitcoin and Ether Strategy ETF (BTF). By amending the investment strategy of an existing fund, Valkyrie is now leading the pack, with industry insiders expecting other ether futures ETFs to follow suit soon.
Several other crypto-focused firms, including Volatility Shares, Grayscale Investments, Bitwise Asset Management, ProShares, VanEck, Direxion, and Roundhill Investments, have proposed similar Ether futures ETFs. Notably, Volatility Shares has announced its Ether Strategy ETF (ETHU) launch date as Oct. 12.
The SEC, which had previously postponed decisions on several planned ETFs, is anticipated to expedite the launch of ether futures ETFs ahead of a potential government shutdown.
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