Cryptocurrency NewsVanEck Pledges Support for Ethereum, Promising Part of ETF Profits

VanEck Pledges Support for Ethereum, Promising Part of ETF Profits

VanEck, an investment company with assets totaling $80 billion has made an announcement expressing their support for the development of Ethereum. They have stated their intention to contribute a portion of the profits generated by their Ethereum ETF.

VanEck has committed to donating 10% of the profits from their Ethereum Futures ETF over the ten years to the Ethereum Protocol Guild, a collective comprised of 152 prominent developers who have played a pivotal role in building and maintaining the Ethereum infrastructure for the past decade.

The announcement has been met with enthusiasm by the Ethereum community with comments from influential figures such as delegate founder 0xfoobar. Leading teams such as Uniswap, Arbitrum, Optimism and Lido have previously shown support for the Protocol Guild.

The objective of VanEcks Ethereum Strategy ETF (EFUT) is to raise funds through investments in ETH futures. It is worth noting that VanEcks commitment comes before confirmation of trading availability for the ETF. Additionally they are still awaiting approval from authorities to commence operations for this fund.

Despite these uncertainties VanEck recently aired a television advertisement expressing optimism about receiving approval from the U.S. Securities and Exchange Commission (SEC) for their EFUT. This has sparked rumors that an Ether futures ETF could potentially receive SEC approval, in the future particularly amidst discussions surrounding potential government shutdowns.
According to James Seyffart, an analyst at Bloomberg VanEcks ETF is one of nine that could potentially gain approval from the SEC potentially as early as October 2nd. Seyffart believes that VanEcks commitment to donating is a maneuver in the competition among companies seeking a position in the Ethereum ETF market. This development coincides with Bitwise, a established player, in the crypto ETF industry announcing their intention to launch two ETH futures ETFs on October 2nd.


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