Kelly Intelligence files for ethereum futures ETFs

According to a regulatory disclosure filed on Monday, Kelly Intelligence is looking for approval from the US Securities and Exchange Commission to launch its ethereum futures ETFs in the US.

The firm proposed a fund that will invest in cash-settled ether futures contracts traded on community exchanges that are registered with the Commodity Futures Trading Commission CFTC. The fund proposed by the firm will invest in a cash-settled futures contract, which means that the buyer will have to pay the difference in case of futures contract that has expired with the value ofEthereum being higher than the value in the contract. The value of the futures contract is linked to the value of the reference asset, in this case,Ethereum.

The Chicago Mercantile Exchange CME is the only exchange where futures ETFs are traded. The exchange had ventured into theETFs ofEthereum Futures earlier this year, after unveilingBitcoin FuturesETFs in 2017.

The exchange has announced a plan to introduce micro ether futures that will be a cost-effective and efficient way for investors to balance their ether price risk and execute trading strategies more efficiently.

The filing of the Ethereum Futures ETFs comes at a time when several Bitcoin futures ETFs have become very popular among potential investors. The ProShares BITO had a significant trading volume of $1.4 billion since it debuted on October 19.

VanEck and ProShares had previously revealed their plans to file for products of the ethereum futures in August but had to withdraw their applications.