Soon an ETF in Ether?
Asset management company VanEck has filed a proposal of exchange-traded funds (ETF) in Ether (ETH) with the Securities and Exchange Commission (SEC). The move comes a few months after VanEck reiterated its efforts to create a Bitcoin ETF (BTC).
There is a very big buzz about the creation of a Bitcoin and Ether exchange traded fund. These funds more commonly known in English Exchange Traded Funds correspond to index funds whose the units can be sold or bought directly on the stock exchange. VanEck ETF shares will be calculated daily using prices from 5 exchanges
What is the point of an ETF? We can read in the repository:
“An ETF offers investors the possibility of accessing the ETH market through a traditional brokerage account, without any technical obstacles entry or the risks associated with holding or directly transferring ETH or acquiring it from an exchange. “
As of the writing of this article, all ETFs offered in the United States were rejected. However, a final decision will be given for VanEck’s Bitcoin ETF before June 17th.
👉 To read on the same subject: Goldman Sachs plans to create an ETF with exposure to Bitcoin
Already 6 ETFs approved in Canada
In Canada, the country’s financial policeman has already validated several ETFs. Indeed, 3 Bitcoin ETFs and 3 Ether ETFs were approved earlier this year on the Toronto Stock Exchange and gave new hope to investment firms in the United States.
Bloomberg financial analyst Eric Balchunas revealed that a third of 25 most actively traded ETFs on the Toronto Stock Exchange were dedicated cryptocurrency funds. A success which confirms the enthusiasm for this type of financial instrument. The 3iQ manager was originally from one of the ETFs in Canada, said:
“ Accessing cryptocurrencies can be daunting, expensive, and inconvenient. 3iQ offers investors investment products practical and familiar “.
According to a recent study, more than half of institutions (53%) would like to buy Bitcoin via an ETF to access Bitcoin, while around a quarter (23%) would turn to structured products and only one in five (21%) of investments direct.
👉 To read on the same subject: Canada approves its first exchange-traded fund on Bitcoin
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