Cancellation of ETH Futures ETF Launch by Volatility Shares due to Lack of Current Opportunity

Volatility Shares Cancels Plans to Launch Ether Futures ETF

Volatility Shares, a financial firm specializing in exchange-traded fund (ETF) products, has decided to cancel its launch of an Ether (ETH) futures ETF. The company’s co-founder and president, Justin Young, confirmed the cancellation, stating that they did not see the opportunity at the current time. However, Young mentioned that they still plan to launch an ETH futures ETF in the future, although specific plans are yet to be determined.

Ether Futures ETFs and Market Changes

Ether futures ETFs are designed to track the prices of ETH futures contracts. These contracts allow investors to trade ETH at a predetermined price and time in the future without actually owning the cryptocurrency. Volatility Shares was originally positioned to be the first firm to offer an ETH futures ETF. However, concerns over a potential U.S. government shutdown prompted the Securities and Exchange Commission (SEC) to expedite its approval process.

Other Firms Trading ETH Futures ETFs

While Volatility Shares canceled its launch, several other firms have begun trading ETH futures ETFs. This includes companies like Valkyrie, VanEck, ProShares, and Bitwise. However, the volume of trading for these ETFs has been relatively low compared to other products like BITO.

Avoiding a Government Shutdown

The U.S. government managed to avoid a shutdown by passing a stopgap measure that funds services through Nov. 17. This development came after the Senate voted 88-9 in favor of the measure and President Joe Biden promptly signed it into law.

Hot Take: Volatility Shares Pulls Back on Ether Futures ETF Launch Amid Market Changes

Volatility Shares has canceled its plans to launch an Ether futures ETF, citing changes in the market. While other firms have started trading ETH futures ETFs, the volume has been relatively low. The U.S. government avoided a shutdown by passing a stopgap funding measure. This decision impacts the timeline for approval of new financial products, including ETH futures ETFs. Despite the setback, Volatility Shares still intends to launch an ETH futures ETF in the future, but specific plans are yet to be determined.