ETHV

📎 Investment Objective

The VanEck Ethereum ETF (ETHV) seeks to provide investment results that closely correspond, before fees and expenses, to the performance of the MVIS CryptoCompare Ethereum Benchmark Rate Index, which is designed to track the performance of Ethereum, the second-largest cryptocurrency by market capitalization.

✨ Key Features

• Provides exposure to Ethereum, the second-largest cryptocurrency, through futures contracts
• Aims to track the performance of the MVIS CryptoCompare Ethereum Benchmark Rate Index
• Potentially offers a more accessible and regulated way to gain exposure to Ethereum compared to direct cryptocurrency investment
• Actively managed fund, with the potential for the manager to adjust the portfolio to try to improve performance

⚠️ Primary Risks

• Cryptocurrency and digital asset risk: Cryptocurrencies are a highly volatile and speculative asset class, and investing in them carries significant risks
• Futures contract risk: The use of futures contracts to gain exposure to Ethereum introduces additional risks, such as the potential for tracking error and counterparty risk
• Liquidity risk: The cryptocurrency and futures markets may experience periods of low liquidity, which could impact the fund's ability to buy or sell positions at desired prices
• Regulatory risk: The cryptocurrency and digital asset industry is subject to evolving regulations, which could adversely affect the fund's operations and performance

👤 Best For

The VanEck Ethereum ETF may be suitable for investors with a high risk tolerance who are seeking exposure to the Ethereum cryptocurrency as part of a diversified portfolio. Investors should have a long-term investment horizon and be prepared to weather the volatility inherent in the cryptocurrency market.