Global investment management firm VanEck has decided to close and liquidate its Ethereum ETH/USD futures ETF (EFUT).

What Happened: The board of trustees of VanEck ETF Trust has given the green light to dissolve the VanEck Ethereum Strategy ETF (EFUT) on the CBOE exchange.

The decision was reached after a comprehensive evaluation of various factors such as performance, liquidity, assets under management, investor interest, and other operational considerations.

Benzinga Future of Digital Assets conference.

Why It Matters: The closure and liquidation of the Ethereum futures ETF by VanEck is a significant event in the investment landscape.

This decision could potentially impact the dynamics of the cryptocurrency market and the ETF industry. It also brings to light the factors that investment management firms consider when deciding to liquidate such funds.

Based on SoSoValue data, the U.S. Ethereum Spot ETF as of Sept. 5 witnessed a drop of $152,000 daily total net flow and a plunge of $562.3 million in cumulative total net inflow. The total value traded stood at $108.6 million.

What’s Next: The influence of Bitcoin as an institutional asset class is expected to be thoroughly explored at Benzinga’s upcoming Future of Digital Assets event on Nov. 19.

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