Now accepting applications for ether ETFs to trade on Upstream’s Ethereum powered market and trading app
By Fernanda De La Torre
On May 22, 2024, the U.S. Securities and Exchange Commission (SEC)approved the first eight applications for spot ether Exchange-Traded Funds (ETFs), marking a significant milestone in the crypto, and greater blockchain community.1.
This decision follows the approval of spot bitcoin ETFs earlier this year, highlighting a growing demand for exposure to cryptocurrencies in mainstream financial markets. This approval also implies that ether, like bitcoin, is a commodity.
These approvals included Blackrock’s iShares Ethereum Trust, VanEck Ethereum Trust, Fidelity Ethereum Fund, ARK 21Shares Ethereum ETF, Franklin Ethereum ETF, Bitwise Ethereum ETF, Grayscale Ethereum Trust, and Invesco Galaxy Ethereum ETF.2
Following the approvals, Upstream, a MERJ Exchange stock market and global trading app, is excited to announce that we are accepting applications for both ether and bitcoin ETFs to list.
It’s important to note that Upstream is not a cryptocurrency market and does not allow account funding via bitcoin, ether or crypto trading. Upstream is a securities market and trading app powered by Ethereum smart-contract technology. Further, U.S. and Canadian investors may not deposit, buy, or sell securities on Upstream.
As an Ethereum-powered market, this industry milestone is special, and we look forward to meeting the demand for international investors seeking to gain exposure to ether and bitcoin from a streamlined account, and without directly owning the cryptocurrency. Just as ether ETFs aim to provide streamlined access to crypto for investors, Upstream strives to offer international investors streamlined access to securities from exchanges worldwide.
What are Ether Exchange-Traded Funds (ETFs)?
Ether Exchange-Traded Funds (ETFs) are investment funds that hold ether (ETH), the cryptocurrency native to the Ethereum blockchain, as their primary asset. These funds track the price of Ethereum and allows investors to gain exposure to the price movements of ether without directly owning the cryptocurrency. ETFs are traded on traditional stock exchanges, making it easier for investors to buy and sell shares compared to trading on cryptocurrency exchanges.
The SEC’s Decision
These SEC approvals come after proposals from major exchanges like Nasdaq, NYSE, and CBOE, which requested changes to existing rules to accommodate ether Exchange-Traded Products (ETPs) and ETFs. This approval is particularly noteworthy given the SEC’s historically cautious stance towards cryptocurrencies and the protracted process it took to approve Bitcoin ETFs.3
Even with the approval, spot ether ETFs won’t start trading right away. Issuers must first obtain SEC approval for individual ETF registration statements that include detailed investor disclosures. The timeline for this additional approval process remains uncertain.
Ether ETFs on Upstream’s Ethereum-Powered Market
Upstream leverages Horizon’s in-house Ethereum layer-2 smart-contract technology suite, enabling seamless issuance and secondary trading of securities. The SEC’s approval of ether ETFs aligns with our mission to democratize access to financial markets and reinforces the potential of Ethereum-based technologies.
Upstream is designed to remove the barriers typically involved when accessing U.S., Canadian, and other international securities. International investors can simply download Upstream, fund their account using a credit/debit card, PayPal, USDC or USD and access these securities.
All blockchain remains under the hood. Investors trade in real-time 20 hours a day, 5 days a week with streamlined onboarding, transparent orderbooks, and modern funding methods like credit/debit card and PayPal to access equities. The software was designed to prevent short selling, market makers, payment for order flow, and other possible market manipulation techniques thanks to Horizon’s smart-contract technology design.
This move for ether and bitcoin ETFs to be made available on Upstream’s global market aligns with the values the underlying technology promotes, including transparency, real-time trading, and non-custodial ownership. It also maintains the simplicity of traditional exchanges, featuring user-friendly onboarding, secure asset holding, and other investor protections.
Ether and bitcoin ETFs are unlocking a whole new pool of investors. We believe Upstream can push that further, with its market being powered by the same technology that gives digital currencies their value.
The swift approval of ether ETFs has been met with surprise and optimism within the industry, signaling a positive shift in regulatory attitudes towards cryptocurrencies. For Upstream, this development not only validates our technological foundation but also opens up new opportunities for our platform and users. We look forward to leveraging this momentum to continue providing innovative trading solutions.
Parties interested in listing an ether or bitcoin ETF on Upstream can get started at: https://upstream.exchange/GetListed or reach the team at hello@upstream.exchange.
Sources:
1,2 Reuters | 3 Fintech Magazine
Disclaimers
U.S. persons may not deposit, buy, or sell securities on Upstream.This communication shall not constitute an offer to sell securities or the solicitation of an offer to buy securities in any jurisdiction where such offer or solicitation is not permitted. NFTs have no royalties, equity ownership, or dividends. NFTs are for utility, collection, redemption, or display purposes only. Anyone may buy and sell NFTs on Upstream. All orders for sale are non-solicited by Upstream and a user’s decision to trade securities must be based on their own investment judgment.
Upstream is a MERJ Exchange market. MERJ Exchange is a licensed Securities Exchange, an affiliate of the World Federation of Exchanges, a National Numbering Agency, and a member of ANNA. MERJ is regulated in the Seychelles by the Financial Services Authority, https://fsaseychelles.sc/, an associate member of the International Association of Securities Commissions (IOSCO). MERJ supports global issuers of traditional and digital securities through the entire asset life cycle from issuance to trading, clearing, settlement, and registry. It operates a fair and transparent marketplace in line with international best practices and principles of operations of financial markets. Upstream does not endorse or recommend any public or private securities bought or sold on its app. Upstream does not offer investment advice or recommendations of any kind. All services offered by Upstream are intended for self-directed clients who make their own investment decisions without aid or assistance from Upstream. All customers are subject to the rules and regulations of their jurisdiction. By accessing the site or app, you agree to be bound by its terms of use and privacy policy. Company and security listings on Upstream are only suitable for investors who are familiar with and willing to accept the high risk associated with speculative investments, often in early and development-stage companies. U.S. persons may not deposit, buy, or sell securities on Upstream. There can be no assurance the valuation of any particular company’s securities is accurate or in agreement with the market or industry comparative valuations. Investors must be able to afford market volatility and afford the loss of their investment. Companies listed on Upstream are subject to significant ongoing corporate obligations including, but not limited to disclosure, filings, and notification requirements, as well as compliance with applicable quantitative and qualitative listing standards.
NFT products are akin to a digital sticker of an underlying artwork and should not be considered a financial investment; a security token, an e-money token, or a form of digital currency. NFTs should not, therefore, be purchased by anyone seeking financial gain or with an expectation to profit from the purchase, ownership in the entity, dividends or distributions, sale or resale of an NFT. By buying an NFT you agree that you are not doing so for investment purposes or for the purposes of obtaining a security or an appreciating asset. You understand that the benefit you receive for buying an NFT is limited to supporting athletes, celebrities and other brands. You also acknowledge that ownership of an NFT does not carry with it any rights, express or implied, including (without limitation) copyright, trademarks or other intellectual property or proprietary rights in and to the underlying artwork. The copyright to the digital artwork remains with the copyright holder.