According to the latest amended S-1 registration statement, the previous Ark 21Shares Ether ETF will be renamed as 21Shares Core Ether ETF. This means that ARK Invest will no longer collaborate with 21Shares to launch the Ether spot ETF. A spokesperson for 21Shares confirmed this change, stating that:
However, the spokesperson also added that 21Shares and ARK Invest will continue to collaborate on the ARK 21Shares Bitcoin ETF, which is set to launch in January, as well as other existing futures products.
On the other hand, a spokesperson for ARK Invest stated:
Regarding ARK Invest’s decision to abandon the Ether spot ETF, some people in the community speculate that it may be due to a lack of confidence in obtaining approval for the Ether spot ETF or in the market attractiveness of Ether. However, Bloomberg analyst Eric Balchunas believes that the more likely reason is the low potential transaction fee revenue under the split between the two companies. Additionally, ARK’s core business is actively managed, and 21Shares has already expanded its own brand in the United States, hence there is no necessity for both parties to collaborate on the Ether ETF.
