21Shares Core Ethereum ETF :$CETH

The 21Shares Core Ethereum ETF (CETH) is an exchange-traded fund designed to offer investors exposure to the performance of Ether (ETH), the native cryptocurrency of the Ethereum blockchain. Trading on the Cboe BZX Exchange, CETH aims to track the performance of Ether as measured by the CME CF Ether-Dollar Reference Rate—New York Variant (the “Index”), adjusted for the Trust’s expenses and other liabilities.

What is 21Shares Core Ethereum ETF

The 21Shares Core Ethereum ETF is a passive investment vehicle that does not actively manage its holdings to outperform the market. Instead, it seeks to replicate the price performance of Ether, providing a convenient way for investors to gain exposure to this digital asset through traditional brokerage accounts without the complexities of buying, storing, or securing Ether directly.

How CETH works

CETH operates by holding Ether and valuing its shares based on the Index. The fund’s Ether is securely held by Coinbase Custody Trust Company, LLC. Investors can buy and sell shares of CETH on the Cboe BZX Exchange, similar to how they would trade shares of a traditional ETF. The fund creates and redeems shares by receiving or delivering Ether, respectively, to or from authorized participants.

Fees associated with CETH

The total expense ratio (TER) for CETH is 0.21%. To attract initial investments, 21Shares has agreed to waive this fee entirely until January 31, 2025, for the first $500 million in fund assets. After this period, the standard fee will apply. Brokerage fees and other transaction-related expenses may still apply when trading shares of CETH on the exchange.