21Shares Core Ethereum ETF Now Operates Independently as Ark Invest Withdraws

Key Points:

• Ark Investment Management has withdrawn from launching a spot-Ether ETF in partnership with 21Shares, with the fund’s name changed to 21Shares Core Ethereum ETF.
• Despite this, 21Shares submitted a revised application for its Ethereum spot ETF and continued collaboration with Ark on Bitcoin ETFs.

Ark Investment Management, led by Cathie Wood, has decided to step back from the competition to launch a spot-Ether exchange-traded fund (ETF) in collaboration with 21Shares.

21Shares Rebrands ETF as 21Shares Core Ethereum ETF Amid Collaboration Shift

The amended prospectus document filed with the US Securities and Exchange Commission (SEC) late Friday disclosed the removal of Ark‘s name from the application, with the fund now renamed as the 21Shares Core Ethereum ETF.

Following this development, 21Shares has submitted a revised application for 21Shares Core Ethereum ETF. Moreover, ARK Invest will no longer be a partner for this ETF. However, a spokesperson for 21Shares assured that the company will maintain its collaboration with ARK Invest on the ARK 21Shares Bitcoin ETF launched in January and other existing futures products.

The decision by Ark comes after the successful launch earlier this year of spot-Bitcoin exchange-traded funds, with the $3.2 billion ARK 21Shares Bitcoin ETF (ticker ARKB) ranking fourth in assets. Despite this withdrawal from the Ethereum ETF race, Ark remains dedicated to its Bitcoin ETF endeavor.

SEC Approval Advances Ethereum ETFs, Trading Pending

The recent unexpected approval by the SEC of 19b-4 filings made by major exchanges to list spot-Ether ETFs has prompted issuers to file revised S-1 statements. This development signifies increased access to crypto for US investors, eliciting enthusiasm from 21Shares.

The US Securities and Exchange Commission’s approval of 19b-4 forms for eight Ethereum ETFs marks a significant step forward. However, issuers are still awaiting the effectiveness of their S-1 statements before trading can commence.