Digital asset management company Grayscale Investments has filed an application with the Securities and Exchange Commission (SEC) for a new exchange-traded fund (ETF) that will track Ethereum futures.
The ETF in question was registered under the Securities Act of 1933, legislation that would govern commodities and spot Bitcoin ETFs. This isn't Grayscale's first venture into Ethereum futures ETFs. The company had previously filed for a separate ETH futures ETF under the Investment Company Act of 1940.
The move is significant because the SEC has approved Bitcoin futures ETFs registered under both laws, leading some investors to believe the SEC is relaxed about Bitcoin futures in general.
Grayscale's latest filing follows a court ruling that the SEC should not have denied the company's application to convert its Bitcoin trust into a spot Bitcoin ETF. The court explained that Grayscale's proposed BTC ETF was “materially similar” to approved futures-based BTC ETFs.
*This is not investment advice.