Grayscale Submits Application For New Ethereum Futures ETF

Grayscale Investments has reportedly submitted a second application for an Ethereum futures exchange-traded fund (ETF) designed to monitor the value of Ethereum Futures contracts.

The investment firm had previously applied for an Ethereum futures ETF, but there is a noticeable difference in the way this one has been filed.

Grayscale Applies For Ethereum Futures ETF Under Different Regulations

According to a recent report, Grayscale submitted a new ETF application to the United States Securities and Exchange Commission (SEC). However, the application was filed under the Securities Act of 1933. This is the same regulatory framework used for filing commodities and spot Bitcoin ETFs.

Yet, Grayscale’s previous application for an Ethereum Futures ETF was filed under the Investment Company Act of 1940. Five other firms have filed applications under this regulatory act, which is the primary framework for most securities-based ETFs.

The reason for Grayscale filing a seperate application under a different act remains uncertain. However, Bitcoin futures ETFs have received registration and approval under both acts, suggesting that this approach may be an attempt to enhance the likelihood of approval.

At the time of publication, Ethereum’s price stands at $1,639.

Ethereum Price Chart 1 Month. Source: BeInCrypto

On August 18, BeInCrypto reported that the SEC is approaching approval for Ethereum futures-based ETFs. Six applications have been submitted, and it seems that the SEC is inclined not to hinder the progress. According to sources familiar with the matter, approval for the product may potentially come through in October.

Read more: Ethereum Merge: Everything You Need To Know

The companies seeking approval include Ether Strategy ETF, Bitwise Ethereum Strategy ETF, Roundhill Ether Strategy ETF, VanEck’s Ethereum Strategy ETF, ProShares Short Ether Strategy ETF, and the Grayscale Ethereum Futures ETF.

However, the SEC has not issued any comments on the matter. It also remains unclear which firms will receive the first approvals.

This is a developing story and more information will be added as it becomes available.

The post Grayscale Submits Application For New Ethereum Futures ETF appeared first on BeInCrypto.

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