- VanEck announced zero fees for its upcoming spot ETH ETFs in the initial phase.
- The issuer has expanded its spot Bitcoin ETF issuance to Australia earlier this month.
US-based leading investment firm and ETF issuer VanEck made an announcement to waive fees for spot ETH ETFs in the initial trading phase. The firm stated that it would not charge fees until an unspecified time in 2025.
VanEck was one of the eight issuers approved by the SEC in May for listing its spot Ethereum ETF. Notably, VanEck aims to hit $1.5 billion in asset funds before imposing fees on its spot ETH ETFs. Additionally, after reaching either one of the two conditions — AUM target and time specification — the firm plans to initiate a 0.20% fee for the digital asset.
Moreover, VanEck’s head of digital assets, Matthew Sigel, discussed that the firm aims “to be a leader in crypto ETF fees even if it means we lose money at the outset.” The firm has also filed a separate S-1 filing to process this recent development.
Matthew Sigel stated:
“The plan is to make it up on volume; in this case, decentralized finance volume.”
Furthermore, the investment firm’s spot ETH ETF will be listed in the BZX exchange along with five other approved spot ETFs.
Will VanEckTriumph the Spot Ethereum ETF Dominance Battle?
As the launch of Spot Ethereum ETFs seems to be on the horizon, issuers have begun announcing ETF fees. Franklin Templeton announced a 0.19% fee following which VanEck has made its announcement. Market analysts have stated that BlackRock’s announcement will set a mark that other issuers will follow. This particular firm has not stated its fees yet.
Meanwhile, the two issuers’ fee announcement has put pressure on BlackRock to maintain fee rates below the 0.30% range according to expert opinions. The eight ETF issuers are observed to make cautious moves in terms of fees to attract investors preceding the launch.
Furthermore, VanEck is one of the leading issuers of spot ETFs. It is also ranked among the eleven spot Bitcoin ETFs approved in January 2024. Additionally, the firm also became the issuer for Australia’s first Bitcoin ETF.
Moreover, Vaneck’s US spot Bitcoin ETFs witnessed $4 million inflows on June 25 according to Sosovalue data. The firm manages $611.57 million worth of BTC under its fund, HODL.
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