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Last week, six futures-based ethereum ETFs began trading on US markets, gaining regulatory approval from the SEC ahead of schedule.
However, these ETFs failed to generate significant trading volumes or provide any notable boost to the cryptocurrency markets.
A disappointing response
Kaiko reports that of the six ETFs, the two with the largest trading volume, VanEck’s EFUT and ProShares EETH, experienced an average daily trading volume of just $500,000 during their first week of trading. To put this in context, the first bitcoin futures ETF, ProShares bitcoin Strategy (BITO), managed to rack up over $1 billion in trading volume on its initial trading day.
However, the report attributes eth‘s poor performance to the impact of the current bear market, which has historically seen traders turn to btc, being the oldest crypto asset.
As a result, eth spot trading volume has also remained stable over the past two months, only exceeding $2 billion on a few occasions.
A sign for something bigger
Even though futures-based ethereum ETFs have had lackluster results in the market, Tom Dunleavy, chief investment officer at MV Capital, shares that true transformation could still be on the way.
In an October 2 tweet, Dunleavy suggests that the only thing that matters is ethereum-etf-approval-confirms-its-non-security-status-former-cftc-chief%2F” target=”_blank” rel=”noreferrer noopener”>cash purchase as futures ETFs do not facilitate this demand.
