Nine Ethereum Futures ETFs Struggle To Gain Traction On Launch

Five of these nine funds hold solely ETH futures contracts, while the remaining four track a mix of ETH and BTC futures contracts.
Nine Ethereum Futures ETFs Struggle to Gain Traction on Launch

On October 2, VanEck, ProShares, and Bitwise launched ETH-futures and ETH + BTC-futures ETFs. Despite the rush of excitement, the launch of nine Ethereum futures ETFs has failed to attract significant investment, despite initial excitement.

The senior Bloomberg ETF analyst, Eric Balchunas, posted on Twitter about the launch of ETF, writing, “Unprecedented day today with multiple ETFs all launching at same time.”

Nine new ETF products designed to track Ether futures contracts have arrived on the market. Five out of these nine funds hold exclusive Ether futures, while the other four track a combination of Bitcoin and ETH futures contracts. 

On the first day of trading, the total trading volume for all nine ETFs was less than $2 million. Valkyrie’s most popular ETF products track a combination of Bitcoin and Ether, for a total of $882,000 worth of volume.

More than $1 billion worth of trading volume was recorded on the first day of trading for the ProShares Bitcoin Strategy ETF (BITO). The Ether ETFs had a much lower trading volume compared to BITO, which was launched in October 2021, during a time when crypto assets were performing exceptionally well.

Balchunas noted that the volume was actually “quite a lot” compared to a typical traditional finance ETF launch, despite the fact that investors typically favor spot ETF products over futures. He added that the products’ simultaneous launches were planned as the SEC wanted to prevent any one fund from controlling the market.

Also Read: VanEck Set To launch Ethereum Futures ETF (EFUT)

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