- Ark Invest and 21Shares came together to file an Ethereum futures ETF application.
- The names of the two ETFs are ARKZ and ARKY.
For the longest time, a large part of the crypto industry now believes in ETFs. Apparently, crypto ETFs increase the influx of crypto trading. Moreover, crypto ETFs extend the reach of crypto to other financial markets like the stock market. Two popular investment firms, Ark Invest and 21Shares came together to make an Ethereum futures ETF filing, and it is interesting.
Ark Invest Partners with 21Shares TO Make Filing
- One thing to note is that Ethereum futures ETF approval won’t have as much impact on the crypto market as Bitcoin. It is not even a spot ETF, so don’t expect too many things from it. Apparently, it is just a filing headed by two teams who want to bring an ETH futures ETF into reality.
- Furthermore, new reports say that the SEC might consider approving this type of ETF anytime soon. So, these two investment firms came together to co-file an ETF to increase their chances of getting approval. They came together to apply for two Ethereum futures exchange-traded funds after reports emerged last week that the US regulator will begin approvals soon.
- So, they filed to the Securities and Exchange Commission regarding the ETFs on the 24th. In the filing, the name of these ETFs are ARK 21Shares Active Ethereum Futures ETF ” (ARKZ) and the “ARK 21Shares Active Bitcoin Ethereum Strategy ETF” (ARKY).
Ark Invest to Make 25% Donation of Their Assets
- According to more details about the new filing, Ark Invest will invest at least 25% of its total assets in cash-settled Ethereum futures contracts. Some examples of the contracts Ark Invest will put their money in are those traded on the Chicago Mercantile Exchange (CME). Note that this applies to the ARKZ ETF.
- Then, for the ARKY ETF, it is a combination of Bitcoin and Ethereum futures contracts. These two Ethereum products are huge regardless of the market situation. Moreover, the move keeps Ethereum on its feet in terms of trends and updates.
Not the First Time
- Apparently, this is not the first time Ark Invest is applying for an ETF. Ark Invest and 21Shares first partnered to launch a spot Bitcoin ETF in 2021. However, all the two attempts by this team received rejection from the US regulator.
- But it looks like Ark Invest isn’t giving up on the applications. Their most recent spot Bitcoin ETF, was around April. Also, Blackrock is making an application regarding Bitcoin ETFs. While there’s optimism on the part of the crypto industry, the SEC’s reaction is generally negative.
Conclusion
Ark Invest and 21Shares to make a new filing regarding two Ethereum ETFs. Named ARKZ and ARKY, the two Ethereum futures ETFs will be a great addition to the crypto industry. Apparently, it is part of the steps to take the crypto industry to new levels. Moreover, the US regulator approving this Ethereum ETF can further improve the chance of getting a spot Bitcoin ETF approval.
