Crypto: Proshares launches a Short ETF to benefit from the decline in Ethereum!

While the crypto Ethereum recorded a decline of more than 24% over 4 months, ProShares announced the launch of the ProShares Short Ether Strategy ETF (SETH). This Ethereum futures contract will allow investors to take advantage of crypto price declines without having to sell short. It is thus added to the three existing Ethereum ETFs already offered by ProShares.

ProShares Unveils Short ETF for Ethereum

ProShares, the ETF giant, has announced a new masterstroke in the world of crypto. Sure enough, the company is preparing to launch a revolutionary ETF focused on Ethereum, called ProShares Short Ether Strategy ETF (SETH). Unlike traditional ETFs, SETH will allow investors to profit from potential drops in Ethereum’s price without shorting the crypto. This launch follows the introduction of three long-term Ethereum futures ETFs in October.

Screenshot of ProShares request on SETH – source: SEC

SETH will soon be listed on the NYSE Arca exchange, with a planned launch in November following SEC approval. The company had already made its mark on the sector by launching a Short Bitcoin ETF in June 2022, which has already accumulated around $75 million in assets. This new step therefore confirms the position of this company as a major player in the creation of crypto investment solutions. It offers investors a more practical way to diversify their portfolio.

Crypto ETH continues to decline

Meanwhile, the crypto Ethereum continues its downward trend for four months. Indeed, since its annual peak at $2,138.44 in April, the second crypto in terms of market capitalization has recorded a fall of more than 27%. If approved, SETH will provide investors with the opportunity to take advantage of this decline. However, it is important to note that some predict that Ethereum could reach $8,000. In this context, investors will need to exercise caution.

Ethereum chart – source: TradingView

Then, it should be noted that ProShares filed the application for this ETF in August. This, as part of a wave of 11 requests for ETFs on the Ethereum crypto in one week. This trend was started by Volatility Shares, followed by other industry leaders. This situation shows the growing interest of investors in cryptos via accessible investment products.

Ultimately, ProShares helps expand access to cryptos and meet the needs of investors in an ever-changing market.

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