ProShares, a leading ETF provider, has recently introduced a trio of Ether (ETH) futures exchange-traded funds (ETFs), and their latest offering, the ProShares Short Ether Strategy ETF (SETH), is scheduled to commence trading in November. The ETF is slated for listing on the NYSE Arca exchange and is designed to achieve daily investment results that reflect the inverse of the daily performance of the S&P CME Ether Futures Index, according to an official filing made on Friday, October 13.
It’s worth noting that SETH doesn’t engage in direct shorting of Ether but instead seeks to capitalize on price declines. As of Friday, ETH was priced at around $1,540, marking a 6% decrease over the past week. ProShares anticipates that the ETF’s registration statement will become effective on October 15, with plans to launch the fund in early November, as reported by Blockworks.
However, this isn’t the first foray for ProShares into Ether futures ETFs. They introduced three such funds on October 2, alongside similar offerings from VanEck and Bitwise. These ETFs invest in both Ether and Bitcoin futures contracts, catering to the growing interest in crypto-based financial products.
The approval of Ether futures ETFs by the U.S. Securities and Exchange Commission (SEC) comes nearly two years after the debut of the first Bitcoin futures ETF, the ProShares Bitcoin Strategy ETF, which entered the market in October 2021. Since then, ProShares has further expanded its Bitcoin futures ETF lineup, introducing the Short Bitcoin Strategy ETF in June 2022.
The ProShares Bitcoin Strategy ETF has gathered approximately $850 million in assets, demonstrating the strong investor appetite for crypto-related investment vehicles. Meanwhile, the Short Bitcoin Strategy ETF has accrued around $75 million in assets, further highlighting the demand for diversified options in the cryptocurrency ETF space. ProShares’ expansion into Ether futures ETFs is a response to the growing prominence of Ether in the crypto market and the demand for diversified exposure to digital assets.