ProShares preps short ether futures ETF for trading
The fund group that launched three ether futures products earlier this month intends to launch another in November that seeks to benefit from ETH price dips
Ms. Li/Shutterstock modified by Blockworks
ProShares launched three ether futures ETFs earlier this month. Now, the firm is preparing to offer something a bit different.
The fund group’s Short Ether Strategy ETF (SETH) appears set to start trading in the coming days, about two weeks after the first ether futures ETFs arrived on the market.
To be listed on the NYSE Arca exchange, SETH seeks daily investment results that correspond to the inverse of the daily performance of the S&P CME Ether Futures Index, according to a Friday filing.
The fund does not directly short ether (ETH). Instead, it aims to benefit from decreases in the asset’s price, the prospectus notes.
The price of ETH was about $1,540 at 4 pm ET on Friday — down roughly 6% from seven days ago.
ProShares expects the registration statement for SETH “to go effective” on Oct. 15 and intends to launch the fund in early November, a source familiar with the filing told Blockworks.
The three existing ProShares ether futures funds — including two that invest in both ether and bitcoin futures contracts — debuted on Oct. 2 alongside similar products by VanEck and Bitwise.
Read more: Underwhelming: week-one demand stays soft for ETH futures ETFs
The US Securities and Exchange Commission greenlit ether futures ETFs two years after the first bitcoin futures ETF — the ProShares Bitcoin Strategy ETF (BITO) — came to market in October 2021.
ProShares followed up its bitcoin futures ETF launch with that of its Short Bitcoin Strategy ETF (BITI) in June 2022. BITO and BITI have about $850 million and $75 million in assets, respectively.
Updated Oct. 13, 2023 at 5:21 pm ET: Modified for additional context.
Get the news in your inbox. Explore Blockworks newsletters:
- Blockworks Daily: The newsletter that helps thousands of investors understand crypto and the markets, by Byron Gilliam.
- Empire: Start your morning with the top news and analysis to inform your day in crypto.
- Forward Guidance: Reporting and analysis on the growing intersection of crypto and macroeconomics, policy and finance.
- 0xResearch: Alpha directly in your inbox. Market highlights, data, degen trade ideas, governance updates, token performance and more.
- Lightspeed: Built for Solana investors, developers and community members. The latest from one of crypto’s hottest networks.
- The Drop: For crypto collectors and traders, covering apps, games, memes and more.
