ProShares has six ETFs to its name as crypto markets await SEC decision

ProShares, a renowned advisory firm boasting hundreds of clients has made headlines this with multiple Exchange-Traded Product (ETF) announcement, pointing to a resolution to expand the crypto ETF market.

Also Read: Former BlackRock director estimates Bitcoin spot ETF to be approved by April 2024

ProShares launches multiple ETFS

ProShares Advisors has solidified the presence of Ether (ETH) in the ETF arena, launching six different ETH ETF futures products. Three of the latest are:

• Ether Strategy ETF (EETH), 
• Bitcoin & Ether Equal Weight Strategy ETF (BETE), and
• Bitcoin & Ether Market Cap Weight Strategy ETF (BETH)

Notably, these ETF products do not invest in the cryptocurrencies directly, rather, they track their futures contracts. The BETE and BETH ETFs provide exposure to two of the largest cryptos in the world, Bitcoin and Ethereum, which is why the firm launched the combined products.

Citing Strategas Securities ETF and technical strategist Todd Sohn, “It is rare when you get a new asset class to enter into the ETF lexicon.” His words came as he tried to explain why traditional players are jumping into the ETF train, adding:

We’ll see how the asset class performs, but this is a new area for everyone to get involved into, so I think that’s why you’re seeing such popularity with all these releases.

In a statement to CNBC, the firm’s global investment strategist, Simeon Hyman explained that it was ideal to have a regulated futures market in an ETF, adding this would resolve most of the challenges in the space before BTC spot ETFs mature.

The firm is the powerhouse behind the largest Bitcoin futures ETF in the market today, the Bitcoin Strategy ETF (BITO), which trails BTC futures and boasts almost 40% in gains year to date (YTD).

Acknowledging this fact, Hyman notes:

We have a full suite of crypto solutions…the largest crypto ETF provider.

Crypto markets still looking to the SEC

Meanwhile, all eyes are peeled to the US Securities and Exchange Commission (SEC) as the financial regulator peruses the ETF applications.

Since the ETF mania began, the only big break happened when a judge decided in favor of Grayscale’s application to have its Bitcoin Trust (GBTC) converted to an ETF. At the time, the markets rallied, with Bitcoin skyrocketing toward the $28,000 mark. It was a big break considering the number of times the commission had rejected similar projects in the past.