According to Bloomberg Senior ETF Analyst Eric Balchunas, Valkyrie issued a 497, stating that they will not be purchasing any more ethereum futures.
Balchunas speculates that the US Securities and Exchange Commission (SEC) could have influenced his decision to stop these purchases.
According to reports on September 28, the Valkyrie bitcoin Strategy exchange-traded fund (ETF) was reported to be adding exposure to ethereum futures contracts, becoming the first US ETF to offer holders exposure to ethereum and bitcoin futures in a single package.
Valkyrie was also the first company to receive approval for an ethereum futures ETF, updating its prospectus and risk disclosures related to ethereum.
A senior ETF analyst reported that there is competition in this space.
However, Valkyrie announced that they would not be making any more purchases until next Tuesday, but instead would sell the futures they bought to “jump the line a little bit.”
Bloomberg Intelligence analyst James Seyffart also provided updates on the ethereum futures ETF. Bitwise has filed for a pure ethereum ETF under AETH with a 0.85% fee and a planned launch date of Monday.
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The SEC delayed the WisdomTreeFunds bitcoin Spot ETF decision, leaving only VanEck and Fidelity awaiting approval.
ProShares ETF has also announced that it will file an updated prospectus for its equally weighted bitcoin and ethereum ETF, which will launch next week.
Seyffart reports that the expense ratio is set at 0.95% under the symbol BETE.
Balchunas notes that six ETFs are currently competing to launch early next week.
