CDS Crypto News VanEck to Close and Liquidate Ethereum Strategy ETF Amid Shift to Spot Products
Crypto News

VanEck to Close and Liquidate Ethereum Strategy ETF Amid Shift to Spot Products

73
VanEck to Close and Liquidate Ethereum Strategy ETF Amid Shift to Spot Products

VanEck to Close and Liquidate Ethereum Strategy ETF Amid Shift to Spot Products

VanEck has announced today its decision to shut down and liquidate its Ethereum Strategy ETF, which is listed on the CBOE. The fund, trading under the ticker symbol ‘EFUT,’ will cease operations after the market closes on September 16, according to a press release from VanEck. Liquidation of the fund is expected to occur around September 23.

Shareholders who still hold EFUT shares at the time of liquidation will receive a cash payout based on the net asset value of their holdings.

The decision follows VanEck’s routine assessment of factors including “performance, liquidity, assets under management, and investor interest,” among other operational considerations, which collectively led to the conclusion to close the fund.

Recent Ethereum Moves by VanEck

This move comes shortly after VanEck received approval for a spot Ethereum exchange-traded product (ETP), which may have contributed to the decision to wind down the futures-based ETF.

Unlike futures ETFs, which track the price of futures contracts and provide indirect exposure to an asset’s future value, spot ETPs directly hold an asset or its equivalent, such as spot Bitcoin or Ethereum.

Investors may also receive a final distribution of any remaining net income or capital gains before the fund’s liquidation is finalized. For tax purposes, VanEck will issue a final report at the end of the year detailing any capital gains or losses related to the fund’s closure.

Earlier this year, VanEck announced the liquidation of its Bitcoin Strategy ETF, which was primarily invested in Bitcoin futures. Citing similar reasons—performance, liquidity, and low investor interest—that fund was delisted after January 30.

VanEck to Close and Liquidate Ethereum Strategy ETF Amid Shift to Spot Products

Leave a comment

Leave a Reply

Related Articles

BTC Achieves New ATH as Trump Re-election Fuels Market Optimism

BTC Achieves New ATH as Trump Re-election Fuels Market Optimism

HMSTR Price Skyrockets Over 50% as Traders Eye $1 Target by Month-End

HMSTR Price Skyrockets Over 50% as Traders Eye $1 Target by Month-End

Vitalik Buterin Unveils “Info Finance” to Revolutionize Data Collection and Sharing

Discover Vitalik Buterin's new concept of 'Info Finance' and how blockchain can...

Ethereum vs Bitcoin: What’s Next for the Crypto Market After Record Price Breaks?

Ethereum has surged past the $3,000 mark for the first time since...