Bitwise Withdraws Application to Transform Bitcoin ETF to Include Ethereum
Asset manager Bitwise has decided to withdraw its application to convert its existing Bitcoin futures ETF into one that invests in both Bitcoin and Ethereum futures contracts. This move has raised speculation about the reasons behind the decision and its implications for Ethereum futures ETFs set to launch in October.
Reason for Withdrawal
Bloomberg Analyst James Seyffart suggests that Bitwise may have made this decision because it doesn’t see the benefit of having a dual BTC and ETH ETF. Additionally, investors in Bitwise’s Optimum Roll ETF may have preferred exposure to Bitcoin alone, leading to the withdrawal.
This withdrawal comes after Bitwise also withdrew its application for the Bitwise Bitcoin and Ether Market Cap Weight Strategy ETF. However, Seyffart remains optimistic about the launch of other Ethereum futures ETFs in October.
Implications for Other Asset Managers
Seyffart believes there is no cause for concern unless Valkyrie also withdraws its application. Several asset managers, including Volatility Shares, VanEck, ProShares, Roundhill, and Bitwise, are expected to launch their Ethereum futures ETFs in October.
Hot Take: Speculations and Optimism Surrounding Ethereum Futures ETF Launches
The withdrawal of Bitwise’s application to transform its Bitcoin ETF has sparked speculations about the reasons behind the decision. While some believe it reflects a product decision by the asset manager, others question the potential impact on upcoming Ethereum futures ETF launches. However, Bloomberg Analyst James Seyffart remains optimistic about these launches and suggests that there is no reason for concern unless Valkyrie also withdraws its application.
By
By
By
By