ETF company Kelly ETFs has filed with the SEC for an Ethereum futures ETF.
Kelly ETFs has filed an application with the US Securities and Exchange Commission (SEC) for an Ethereum futures ETF with a form N1-A. This form is used by investment companies seeking to create open-end mutual funds and covers the product both in the Securities Act of 1933 and the Investment Company Act of 1940.
SEC Chairman Gensler said in a previous statement that he might look into crypto products filed under the 40 Act, specifically futures traded on the Chicago Mercantile Exchange.
Following Gensler’s comment, several Bitcoin futures ETFs were approved. However, the institution has not yet approved an Ethereum product.
The Kelly Ethereum Ether Strategy ETF will feature Ethereum futures contracts traded on federally regulated exchanges (currently CME). The product will not directly invest in Ethereum and will work in a similar way to Bitcoin futures ETFs that have been approved in recent weeks.
Is it approved?
If the SEC doesn’t reject it, the product will go into effect 75 days from today. However, the product is unlikely to be approved, according to renowned ETF analysts Eric Balchunas and James Seyffart.
