- In an earlier file, ArkInvest/21 Shares contained a staking component; however, that appears to have been eliminated in an amended form that was published on Friday.
Staking will not be a part of Cathie Wood’s ARK Invest and 21Shares’ proposed spot ether exchange-traded fund.
Staking provisions were mentioned in a prior filing for ArkInvest/21 Shares, which said that the “sponsor may, from time to time, stake a portion of the Trust’s assets through one or more trusted Staking Providers.” The amended filing on Friday lacked that particular sentence.
According to a post on X on Friday by Bloomberg ETF analyst Eric Balchunas, there could be several implications for the amended filing that removed staking.
Although it could appear that they are refining their documents in response to SEC feedback—which is excellent news—no feedback has been received, according to Balchunas. Therefore, it’s probably a Hail Mary or an attempt to give the SEC one less item to reject. Not certain as of now.
A request for comment was not immediately answered by 21 Shares or ARK Invest.
The fund would offer direct exposure to ether and trade on the Cboe BZX Exchange using the CME CF Ether-Dollar Reference Rate – New York Variant, according to Ark Invest and 21Shares’ September application for the spot ether ETF.
The trust is sponsored by 21Shares, the trustee is Delaware Trust Company, and the custodian of the ether is Coinbase Custody Trust Company. Serving as the trust’s sub-adviser, ARK Investment Management will help with the Shares’ promotion.
Over the past few months, there has been a decline in optimism over the SEC’s approval of spot ether ETFs. Balchunas reduced his prediction last month from about 70% to 25% regarding the likelihood of a spot Ethereum ETH -1.27% ETF approval by late May.
Disclaimer : This article was created for informational purposes only and should not be taken as investment advice. An asset’s past performance does not predict its future returns. Before making an investment, please conduct your own research, as digital assets like cryptocurrencies are highly risky and volatile financial instruments.
