01 Jun

Ark Investment Management, under the leadership of Cathie Wood, has chosen to withdraw from the race to introduce a spot-Ether exchange-traded fund (ETF) in partnership with 21Shares.

21Shares Renames ETF as 21Shares Core Ethereum ETF in the midst of a shift in collaboration

The US Securities and Exchange Commission (SEC) received a revised prospectus document late on Friday, which revealed that Ark had been removed from the application and that the fund was now titled the 21Shares Core Ethereum ETF.

In light of this change, ARK Invest has decided to withdraw as an ETF partner, and 21Shares has submitted an updated application for the 21Shares Core Ethereum ETF. A 21Shares representative did, however, reassure that the business will continue working with ARK Invest on the ARK 21Shares Bitcoin ETF, which was introduced in January, as well as other current futures products.

Following the successful introduction of spot-Bitcoin exchange-traded funds earlier this year—the $3.2 billion ARK 21Shares Bitcoin ETF (ticker ARKB) ranked fourth in assets—Ark has made this decision. Ark is still committed to its Bitcoin ETF project in spite of its withdrawal from the Ethereum ETF competition.

Ethereum ETFs are approved by the SEC; trading is pending

As a result of the SEC's surprise approval of major exchanges' 19b-4 submissions to market spot-Ether ETFs, issuers have filed amended S-1 statements. 21Shares is excited about this development since it indicates that US investors will have more access to cryptocurrency.

An important step forward has been made with the clearance of 19b-4 forms for eight Ethereum ETFs by the US Securities and Exchange Commission. But before trading can start, issuers must wait for their S-1 filings to become effective. 

June 2024, Cryptoniteuae

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