WisdomTree To Terminate Ethereum ETF Registration

American investment company WisdomTree has requested to withdraw its Ethereum Trust registration statement three years after submission to the US Securities and Exchange Commission (SEC).

American investment company WisdomTree has now filed a request to withdraw its Ethereum Trust registration statement, three years after submitting it to the US Securities and Exchange Commission (SEC). This news comes a few hours after fellow asset manager VanEck closed down its Ethereum futures ETF due to a lack of demand.

WisdomTree filed a Form S-1 registration statement with the SEC on May 27, 2021, aiming to launch an ETF that would provide investors with exposure to Ethereum at a lower cost and with reduced liability. The ETF, titled “WisdomTree Ethereum Trust,” was set to be listed on the Chicago Board Options Exchange (Cboe). The proposed maximum aggregate offering price of the ETF was $1,000,000.

However, WisdomTree has now decided to withdraw the registration statement of the ETF, along with all relevant exhibits. The asset manager has stated that no securities in relation to the said application have been or will be sold to investors. Additionally, WisdomTree has acknowledged that the filing fees for this registration statement, amounting to $109.10, cannot be refunded. They have also requested that these fees be directed toward future use.

This development comes shortly after VanEck announced plans to shut down its VanEck Ethereum Strategy ETF (EFUT), an investment fund that tracks Ethereum futures contracts. According to VanEck, this decision was made after considering various factors such as “performance, liquidity, assets under management, and investor interest.” Trading activity on EFUT will cease on September 16, and shares will be liquidated on or around September 23.

Meanwhile, the Ethereum spot ETF market saw an outflow of $6 million in the last day, according to data from Farside Investors. The total cumulative net flows of the nascent market now stand at -$568.5 million despite holding over 2% of the Ethereum market. At the time of writing, Ethereum trades at $2,237 following a 6.64% decline in the last day, according to data from CoinMarketCap.