Is It Wise to Invest in Spot Ethereum ETFs?

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    The introduction of spot ethereum exchange-traded funds (ETFs) to the US financial markets occurred 
    <span>on July 23, 2024</span>. Below is the list of the nine newly launched ETFs, including one that was transformed from a previous trust:
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        Source: Issuer Form S-1s. Securities and Exchange Commission EDGAR Online. Securities and Exchange Commission, 21 July 2024, www.sec.gov/edgar.shtml. Note: Information is subject to change.
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    The US Securities and Exchange Commission approved proposals for the first spot ethereum ETFs in the US back in May, signifying a milestone as it marks the first cryptocurrency to gain such an endorsement following the arrival of <a target="_blank" href="https://www.morningstar.com/funds/spot-bitcoin-etfs-trading-debut-6-charts" tabindex="0" class="mdc-link__mdc mdc-link--body__mdc">spot bitcoin ETFs</a> earlier this year in January.
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  <h2 class="mdc-heading__mdc mdc-heading--level-4__mdc mdc-heading--bold__mdc mdc-story-body__header__mdc mdc-story-body__block__mdc">
    Explaining Spot Ethereum ETFs
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  <p class="mdc-story-body__paragraph__mdc mdc-story-body__paragraph--large__mdc mdc-story-body__block__mdc">
    Unlike futures ETFs, spot ethereum ETFs are designed to directly hold ether, the cryptocurrency that powers the ethereum blockchain network. Ether is currently available on various cryptocurrency exchanges, such as Coinbase <a target="_blank" href="https://www.morningstar.com/stocks/xnas/coin/quote" tabindex="0" class="mdc-link__mdc mdc-link--body__mdc">COIN</a>, and is second only to bitcoin in market capitalization. Spot ethereum ETFs, much like their bitcoin counterparts, would be structured as grantor trusts, with investors owning a share in the actual ether held by the trust.
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    The primary distinction between these ethereum ETFs and their bitcoin cousins lies in the digital currency they are associated with, but in other respects, their structure and function should be quite similar.
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  <h2 class="mdc-heading__mdc mdc-heading--level-4__mdc mdc-heading--bold__mdc mdc-story-body__header__mdc mdc-story-body__block__mdc">
    How to Choose the Right Spot Ethereum ETF
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