According to the latest amended S-1 registration statement, it is shown that the previous Ark 21Shares Ether ETF will be rebranded 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 to the media, stating that:
However, the spokesperson added that 21Shares and ARK Invest will continue to collaborate on the ARK 21Shares Bitcoin ETF launched in January and other existing futures products.
On the other hand, a spokesperson for ARK Invest stated that:
Regarding ARK Invest’s decision to abandon the Ether spot ETF, some in the community believe that the reason may be a lack of confidence in the approval of the Ether spot ETF, or a lack of market attractiveness for Ether. However, Bloomberg analyst Eric Balchunas believes that the more likely reason is the low potential fee revenue under the split of the two companies. In addition, ARK’s core business is an actively managed company, and 21Shares has already expanded its brand in the US, so there is no need for both parties to collaborate on the Ether ETF.