Direxion Expands Investment Opportunity To Ethereum ETF

Key Points:

• ETF issuer Direxion has submitted an application for an Ethereum ETF to the US SEC.
• The name of the fund is “DIREXION ETHER STRATEGY ETF,” which plans to be listed and traded on the New York Stock Exchange Arca.
• The SEC is currently reviewing the fund’s application.

According to Bloomberg senior ETF analyst Eric Balchunas, ETF issuer Direxion has filed an application with the Securities and Exchange Commission (SEC) for an Ethereum ETF.

The fund’s name, according to an image of the prospectus paper given by it, is “DIREXION ETHER STRATEGY ETF,” and it seeks to be listed and traded on the New York Stock Exchange Arca. The SEC is now examining the fund’s application.

Direxion is a financial product provider best known for its leveraged ETFs.

The company has reapplied to the SEC for its Bitcoin Strategy Bear ETF, a futures-based exchange-traded fund that seeks to follow the price of Bitcoin (BTC) in the opposite direction. The Direxion Bitcoin Strategy Bear ETF is designed to maintain short exposure to Bitcoin futures contracts, essentially betting on the cryptocurrency’s price falling.

Direxion has filed for the Direxion Daily Bitcoin Strategy Bull 2X Shares ETF, which would attempt to double the daily performance of the S&P CME Bitcoin Futures Index.

Crypto has recovered from last year’s slump, with Bitcoin almost tripling to go beyond $30,000 this week, up from approximately $16,600 at the beginning of 2023. Several explanations have been postulated for its eye-catching rise, including the possibility of interest rates falling shortly, which would allow riskier assets to appreciate.

Fans of digital assets have also suggested that recent upheaval in the banking sector may have driven some investors into cryptocurrency, which they regard as independent of the traditional-finance system. However, the biggest token has dropped more than 50% from its near-$69,000 peak in 2021. Bitcoin is now trading around $27,500 after a brief break.

DISCLAIMER: The information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your research before investing.

Join us to keep track of news: https://linktr.ee/coincu

Harold

Coincu News