ARK Invest and 21Shares Want to Launch Ethereum-ETF Futures

Investment company ARK Invest and cryptocurrency ETP provider 21Shares have applied to the SEC to launch two exchange-traded funds based on Ethereum futures.

ARK 21Shares Active Ethereum Futures ETF (ARKZ) will invest up to 25% of its funds in standardized US dollar-settled contracts, such as those from the Chicago Mercantile Exchange.

However, investors should be aware that the fund does not invest directly in Ethereum.

Similarly, ARK 21Shares Active Bitcoin Ethereum Strategy ETF (ARKY) will allocate up to 25% of its funds between Ethereum and Bitcoin futures, while the rest of the portfolio will consist of US Treasury bonds, repo agreements, and other financial market instruments.

In addition, six firms, including Grayscale, ProShares, Bitwise, and VanEck, have also proposed ETFs based on Ethereum futures.

Nevertheless, ARK Invest and 21Shares have already applied to the SEC for a spot Bitcoin ETF in April, though the regulator has postponed a decision on their proposal.