After a dramatic controversy this spring when investors linked its shares with the Ethereum digital currency, Ethan Allen, a furniture trading business in the United States for almost 90 years, chose to alter its market ticker.
Shares of Ethan Allen, located in Danbury, Connecticut, began to soar in May of 2021, rising more than 56 percent in less than a month. It turns out that several traders confused the ETH ticker, which was established by the company on the stock exchange, for the ticker of the second cryptocurrency asset on the market. However, is it true that the price gap between shares and tokens was enormous at the time?
As a result, on August 5th, executives of the furniture company announced that the New York Stock Exchange ticker would be changed from ETH to ETD. As a result, retail stock market participants are now much less likely to make such a “minor” error while purchasing shares.
Furthermore, according to Ethan Allen’s CEO, Farooq Kathwari, this decision would help the company. After all, there will be no more ambiguity, not just on the exchange but also in search engine results, where the ETH ticker is most frequently displayed in the context of cryptocurrency news, but not in the context of furniture. Kathwari further clarified that the D in the company’s new stock symbol stands for “design.”
Despite the uncertainty, the furniture company increased by 80%, whereas Ethereum increased by 580% in the same time frame. On Twitter, several community members joked that this dynamic illustrates the drawbacks of investing in “sofas.” It’s impossible to dispute these numbers when you look at them.
On August 16, 28 years after ETH debuted on the NYSE, the ticker on ETD will be altered.