Cathie Wood’s Ark Invest is on the verge of making history by ushering in the first-ever Ethereum ETF in the United States. This milestone is imminent, thanks to their 19b-4 application submission to the Securities and Exchange Commission [SEC]. The groundbreaking fund, known as the “ARK 21Shares Ethereum ETF,” is poised to trade on the Cboe BZX Exchange, pending the SEC’s authorization.
In their application, Ark Invest has entrusted Coinbase as the custodian, signifying that this cryptocurrency exchange will safeguard the Ethereum assets supporting Ark Invest’s ETF shares. The ETF itself is slated for trading on the Cboe BZX Exchange. The competition has intensified with the arrival of another contender, the VanEck Ethereum ETF, filed by CBOE on September 6, alongside the ARK 21Shares Ether ETF.
With assets under management exceeding $14 billion, Cathie Wood’s Ark Invest has also emerged as the frontrunner in the race for a spot in the Bitcoin ETF, even amidst formidable industry players like BlackRock. In June 2021, Ark Invest initiated its first application for the Ark21Shares ETF in collaboration with Swiss ETF provider 21Shares AG. If approved, this BTC ETF will be listed on Cboe’s BZX Exchange under the symbol ARKB.
However, the U.S. Securities and Exchange Commission has prolonged its assessment of the Ark 21Shares Bitcoin exchange-traded fund application as it continues to evaluate applications from traditional financial heavyweights like BlackRock and Fidelity Investments.
Experts Predict Ethereum ETF Final Deadline
According to Bloomberg ETF analyst James Seyffart, the latest 19b-4 filings signify a new phase in the race for a spot in the ETH ETF, marking the official commencement of the competition. He anticipates a final decision around May 23, 2024.
Nonetheless, this news has sparked tremendous excitement within the cryptocurrency community, particularly following Grayscale’s recent victory against the U.S. regulator. A federal court ruling mandated the SEC to reevaluate its rejection of Grayscale’s bid to convert GBTC into an exchange-traded fund.
Many market experts believe this ruling has paved the way for a potential Ethereum spot ETF and increased the likelihood of the SEC approving all current applications. Furthermore, on August 17, the securities regulator reportedly signaled its intention to approve investment products related to Ethereum Futures.