VanEck to Close and Liquidate Ethereum Futures ETF

VanEck, the investment manager, will close and liquidate its Ethereum futures ETF.

The decision follows the approval of VanEck’s spot Ethereum ETF, ETHV, which the firm noted on the social media platform X.

Details of the Ethereum Strategy ETF (EFUT)

The VanEck Ethereum Strategy ETF (EFUT) invests in ether futures contracts rather than the digital asset directly. Launched on October 2, 2023, EFUT is listed on the CBOE and had total net assets of $21.24 million and an NAV of $20.23 as of September 5.

Shareholders of EFUT have until market close on September 16 to sell their shares. After this date, shares will be de-listed, and those still holding EFUT shares will have their investments liquidated on September 23 for cash equivalent to their shares’ value.

Reasons for Liquidation

VanEck stated that it continuously monitors its ETF offerings based on performance, liquidity, assets under management, and investor interest. The decision to liquidate was made after considering these various factors and other operational considerations.

In May of this year, the Securities and Exchange Commission approved VanEck’s spot Ethereum ETF, ETHV, alongside seven other spot ether funds. ETHV accounts for 1.97% of the total market share volume for spot ether ETFs, generating $2.11 million in daily trading volume on September 5, as per The Block’s Data Dashboard.

The Block has reached out to VanEck’s media representation for further comments.