Hashdex, a Brazillian investment firm, has withdrawn its application for a spot Ethereum exchange-traded fund, according to a recent filing.
The firm jumped into the Ethereum ETF race back in November, with the Nasdaq exchange filing the application with the SEC.
The ETF proposed was supposed to offer investors exposure to both spot Ether and futures-based Ethereum contracts. The unique structure of the product made it an outlier among a slew of spot ETF proposals.
Tomiwabold OlajideThe filing stated that the inclusion of futures contracts would reduce dependence on the spot market, thus mitigating some market manipulation risks.
The SEC delayed its decision on Hashsex's Ethereum proposal on March 19. Back then, the SEC was widely expected to reject spot Ethereum ETF. Notably, leading analyst ETF James Seyffart predicted that only Hashdex's application would be approved due to its unique structure if the spot applications were to be denied.
Earlier this month, the regulator finally approved multiple spot Ethereum ETF applications, including the one from BlackRock. However, Hashdex's 19b-4 form did not get the green light from the SEC.
Disclaimer: The opinions expressed by our writers are their own and do not represent the views of U.Today. The financial and market information provided on U.Today is intended for informational purposes only. U.Today is not liable for any financial losses incurred while trading cryptocurrencies. Conduct your own research by contacting financial experts before making any investment decisions. We believe that all content is accurate as of the date of publication, but certain offers mentioned may no longer be available.
Tomiwabold Olajide
Godfrey Benjamin
Dan Burgin
Vladislav Sopov