VanEck’s zero fees are part of plan to become the ‘go-to provider for crypto ETFs’

Share This Post

VanEck recently disclosed it would waive fees for its spot Ethereum ETF, adopting a similar strategy to its Bitcoin counterpart launched earlier this year.

The firm’s head of digital assets research, Matthew Sigel, told ETF.com that the waiver is part of VanEck’s plan to become the “go-to provider for crypto ETFs.”

He said:

“We aim to be a leader on crypto ETF fees even if it means we lose money at the outset.”

Sigel added that VanEck is confident its approach will “resonate” with investors across the spectrum and help drive more interest in Ethereum and the role it can play in their portfolios. He added that the lack of fees is also expected to lower the barrier of entry for new investors.

Sigel told CryptoSlate that the firm has “generated significant conviction in Ethereum” as an asset and will also benefit financially from potential price gains as on-chain activity continues to grow — helping to potentially recoup some of the “losses” incurred from the waived fees.

The news comes alongside VanEck’s submission of an 8-A securities registration form to the SEC on June 25. Bloomberg ETF analyst Eric Balchunas described the filing as routine but called the update a “good sign” for his over/under launch date prediction of July 2.

ETH ETF fees largely pending

VanEck disclosed its plans for a fee waiver in an S-1 amendment on June 22. It plans to waive the first $1.5 billion in assets until an unstated date in 2025 before imposing a 0.20% sponsor fee.

Franklin Templeton is the only other spot ETH ETF issuer that has disclosed a fee and waiver. It disclosed a 0.19% sponsor fee and a $10 billion waiver for six months.

Both fees are comparable to the lowest spot Bitcoin ETF fees. Fees for spot BTC ETFs largely span from 0.19% to 0.39%, apart from Grayscale’s GBTC, which has a 1.5% fee.

In January, spot Bitcoin ETF issuers competed heavily on fees and waivers. While spot ETH ETF issuers have yet to compete to the same extent, Eric Balchunas believes BlackRock’s eventual ETH ETF fee will influence other funds’ decisions, calling it the “sun that the rest will need to orbit around.”

The post VanEck’s zero fees are part of plan to become the ‘go-to provider for crypto ETFs’ appeared first on CryptoSlate.

Read Entire Article
spot_img
- Advertisement -spot_img

Related Posts

Is Bitcoin Price Headed For $70,000 Or $300,000? What The Charts Are Saying

Bitcoin’s price trajectory has become a significant point of interest in light of the recent downtrend, which has disappointed many bullish traders According to on-chain analytics platform

Is Mutuum Finance (MUTM) the Next Big Thing In Crypto? You Won’t Believe What Analysts Are Saying

The post Is Mutuum Finance (MUTM) the Next Big Thing In Crypto You Won’t Believe What Analysts Are Saying appeared first on Coinpedia Fintech News Mutuum Finance (MUTM) has ignited a frenzy in

Can Bitcoin Outperform Gold in 2025? Tom Lee’s Bold Prediction

The post Can Bitcoin Outperform Gold in 2025 Tom Lee’s Bold Prediction appeared first on Coinpedia Fintech News Bitcoin is one of the cryptos that have benefited hugely from the shift in

Why Are Cardano (ADA) and XRP Prices Surging Today?

The post Why Are Cardano (ADA) and XRP Prices Surging Today appeared first on Coinpedia Fintech News The altcoin industry, led by XRP and Cardano (ADA), followed the Bitcoin (BTC) price with a mild

LUNA’s Collapse Exposed: Is FTX the Mastermind Behind the Chaos?

The post LUNA’s Collapse Exposed: Is FTX the Mastermind Behind the Chaos appeared first on Coinpedia Fintech News Former Binance CEO Changpeng Zhao (CZ) has hinted at some exciting details about

Best Crypto Presales: Solaxy Predicted to Explode After Raising $26M

The post Best Crypto Presales: Solaxy Predicted to Explode After Raising $26M appeared first on Coinpedia Fintech News Having raised over $261 million within a few months of its presale launch,