Tuesday Set for Launch of Ether ETFs, Following Six Months After Bitcoin Funds’ Monumental Debut – NBC Los Angeles

• Trading could kick off as early as this coming Tuesday.
• The introduction of ether-based ETFs arrives half a year following the inauguration of bitcoin ETFs, which experienced unprecedentedly successful launches.
• Heavy-hitters such as BlackRock, Fidelity, and Grayscale are poised to roll out their ETFs.

The U.S. Securities and Exchange Commission seems to have authorized ETFs that will contain ether, the crypto market’s runner-up in size. The expectation is that trading might commence promptly by Tuesday.

Additional registration filings were submitted by various fund providers on Monday, while exchanges have issued notices of the funds’ Tuesday trading, suggesting that the SEC has given its endorsement.

A direct comment from the regulator regarding this matter wasn’t immediately available upon CNBC’s inquiry on Monday. The SEC had sanctioned the rule amendments necessary for ether funds’ listing by exchanges back in May.

Amongst those eager to introduce ether funds are major asset management firms like BlackRock, Fidelity, and VanEck. Concurrently, cryptocurrency-oriented companies such as Bitwise, 21Shares, and Grayscale—who is notably reconfiguring its substantial Ethereum Trust into two distinct ETFs with varying fees—are also poised to participate.

These forthcoming ether ETFs trail the initiation of bitcoin ETFs by six months, which were characterized by some of the most notable industry debuts. Collectively, these funds have garnered in excess of $16 billion in net inflows, particularly led by the iShares Bitcoin Trust (IBIT), per FactSet information.

While the ether funds may not reach the heights of popularity as their bitcoin counterparts—partly due to ether’s market cap being about a quarter of the leading cryptocurrency’s size—they’re still anticipated to make a significant splash. Bitwise’s Chief Investment Officer, Matt Hougan, has forecasted a $15 billion inflow into these funds during their initial 18 months in the market, as many investors seek to maintain stakes in both bitcoin and ether funds.

“Consider an investor without a developed preference, aiming merely to tap into the potential of blockchains—such an investor’s default would be to diversify into both bitcoin and ether,” Hougan explained.

While there are currently funds navigating with ether futures, these incoming ETFs will be the first in the U.S. to directly purchase and possess ether on the spot market.