So You Want to Short Ethereum? Theres an ETF for That
ProShares, a U.S.-based issuer of exchange-traded funds, today announced the launch of ProShares Short Ether Strategy ETF (SETH), letting investors profit from declines in the price of Ethereum (ETH), the second-largest cryptocurrency by market capitalization. SETH, which is set to start trading on the New York Stock Exchange‘s (NYSE) Arca, seeks to deliver the inverse of the daily performance of its underlying benchmark—the Standard & Poor’s CME Ether Futures Index. “You will lose money when the Index rises—a result that is the opposite from a traditional index fund,” reads the product‘s summary prospectus. “Obtaining inverse or ’short exposure may be considered an aggressive investment technique.” It further states that an investment in SETH “may not be suitable for all investors” because if the Index approaches a 100% increase at any point in the day, “you could lose your entire investment.” was trading at $1,816 by press time, up 1.5% over the day, data from CoinGecko shows. Earlier this year, ProShares also introduced Bitcoin Short ETF (BITI), a similar product whose performance is inversely correlated to the S&P CME Bitcoin Futures Index. In other words, investors profit when the price of Bitcoin (BTC) drops. I-decrypt has reached out to ProShares for additional comments. ProShares crypto-linked ETFs SETH joins ProShares