A collaboration between Ark Invest and 21Shares is set to bring a new suite of Exchange-Traded Funds (ETFs) focused on digital assets to the market. These offerings aim to provide investors with various options for adding digital assets like Bitcoin and Ethereum to their portfolios.
By using on-chain indicators and cryptocurrency expertise, the suite is designed to generate long-term capital growth. This will be achieved through strategic investments in Bitcoin and Ethereum futures contracts, as well as blockchain technologies.
The new ETFs resulting from this partnership will be available on the Chicago Board Options Exchange (Cboe), making them more accessible to investors. Trading for five distinct products will begin next week, each with its unique investment focus.
Diversified Investment Options
Investors can look forward to a range of ETFs that include Bitcoin and Ethereum futures contracts, providing exposure to the price movements of these leading cryptocurrencies without direct ownership. Additionally, one of the products will diversify its holdings to encompass public equities of companies engaged in the blockchain industry.
It’s important to note that while providing exposure to digital assets and blockchain technology, these ETFs do not enable direct investment in cryptocurrencies. They focus on futures contracts and blockchain-related companies.
Market Awaits SEC Decision on Spot Bitcoin ETFs
This announcement comes at a time when both traditional finance and the crypto community are eagerly awaiting a decision on the approval of spot Bitcoin ETFs by the U.S. Securities and Exchange Commission (SEC). Notable financial institutions such as Fidelity, Grayscale, and BlackRock have been actively pursuing the establishment of spot Bitcoin ETFs.
While the U.S. SEC has already approved funds that invest in Bitcoin futures, the approval of a spot Bitcoin ETF remains pending. However, Ark Invest recently submitted a revised version of its prospectus for a Bitcoin ETF, addressing concerns raised by the SEC and providing further clarification.
Hot Take: The Future of Digital Asset Investing
The collaboration between Ark Invest and 21Shares represents an innovative step forward in digital asset investing. By offering diverse ETF options that provide exposure to digital assets without direct ownership, this partnership aims to meet investor demand for cryptocurrency investment products while awaiting regulatory decisions on spot Bitcoin ETFs.
Owen Patter is a distinguished crypto analyst, accomplished researcher, and skilled editor, leaving a notable imprint on the cryptocurrency landscape. As a proficient crypto analyst and researcher, Owen delves into the intricate realms of digital assets, offering insights that resonate with a diverse audience. His analytical acuity is harmoniously paired with adept editorial skills, allowing him to transform complex crypto information into easily comprehensible content.