VanEck Ethereum ETF Releases Q1 2025 10-Q Report

The VanEck Ethereum ETF, a Delaware statutory trust designed to reflect the performance of the price of ether (ETH) minus operating expenses, has released its Form 10-Q report for the quarter ended March 31, 2025. The report provides insights into the Trust's operational performance, liquidity, and future outlook.

Financial Highlights

The provided SEC filing 10-Q document does not contain the specific financial metrics typically found in a Condensed Consolidated Statements of Income, such as Revenue, Gross Profit, Operating Income, Net Income, or Net Income Per Share. The document primarily focuses on the valuation and operations of the VanEck Ethereum ETF, which is an investment vehicle tracking the price of Ethereum (ETH). As such, it does not report traditional income statement metrics.

Business Highlights

Trust Overview

The VanEck Ethereum ETF operates as a passive investment vehicle without pursuing any active investment strategies. Its primary goal is to reflect the performance of the price of ether (ETH) minus the operating expenses of the Trust.

Net Asset Value (NAV) Calculation

The Trust's NAV is determined daily based on the MarketVectorTM Ethereum Benchmark Rate price at 4:00 p.m. EST. The NAV per Share is calculated by dividing the current market value of total assets minus liabilities by the total number of outstanding Shares.

Liquidity and Expenses

The Trust's primary source of liquidity is through sales of ETH. The Sponsor has agreed to assume most expenses, with the only ordinary expense being the Sponsor's Fee, which was waived during the reporting period.

Operational Performance

During the quarter ended March 31, 2025, the Trust's NAV decreased by 42.16%, primarily due to a 44.91% decrease in the price of ETH. The number of shares outstanding increased from 3,000,000 to 3,150,000 due to net creation of shares.

Sponsor Fee Waiver

The Sponsor waived the entire Sponsor Fee for net assets up to $1.5 billion until July 22, 2025, which contributed to zero expenses for the Trust during this period.

Concentration Risk

The Trust's assets are heavily concentrated in ETH, exposing it to risks associated with ETH's price volatility and regulatory changes that could impact its value.

Future Outlook

The Trust does not anticipate significant changes in liquidity needs and continues to focus on tracking ETH prices while managing operational expenses through Sponsor agreements.

SEC Filing: VanEck Ethereum ETF Releases Q1 2025 [ CBOE:ETHV ] - 10-Q - May. 14, 2025