Ether ETFs Launch Marks New Milestone in Cryptocurrency's Mainstream Journey

The first U.S. exchange-traded funds (ETFs) tied to ether, the second-largest cryptocurrency, will start trading on Tuesday. Issuers like VanEck, Franklin Templeton, and BlackRock are involved, marking a significant development for the crypto industry, although expected inflows might be lower than those for bitcoin ETFs.

The first U.S. exchange-traded funds (ETFs) tied to the price of ether, the world's second-largest cryptocurrency after bitcoin, will begin trading on Tuesday, marking another milestone in the crypto industry's bid to go mainstream.

A range of companies, including VanEck, Franklin Templeton, Fidelity, 21Shares, and Invesco, will see their ether ETFs start trading on Cboe, while BlackRock will list its product on Nasdaq. Bitwise and Grayscale Investments will launch products on the New York Stock Exchange the same day, according to exchange notices.

The introduction of ether ETFs follows the January launch of nine U.S. spot bitcoin ETFs, representing another victory for digital assets within the broader financial sector. While these ether products may not attract as much investment as bitcoin ETFs, analysts see their launch as a critical step. The Securities and Exchange Commission (SEC) approved the bitcoin ETFs after a legal battle, despite cautioning investors about associated risks.

(With inputs from agencies.)