Ethereum
Spot Ether ETFs Begin Trading Today Following Final SEC Approval
The Securities and Exchange Commission (SEC) has given final approval to Ethereum exchange-traded funds (ETFs), which will see the instruments listed and traded on three U.S. exchanges on July 23.
The final stamp on the S-1 registration forms of Ethereum spot ETF issuers came two months after the regulator approved the listing of cryptographic instruments on the Nasdaq, the New York Stock Exchange and the Chicago Board Options Exchange.
THE Approved Issuers of Spot Ether ETF Other such companies include BlackRock, Fidelity, 21Shares, Bitwise, Franklin Templeton, VanEck, and Invesco Galaxy. Interestingly, all of them also offer spot Bitcoin ETFs, which the SEC gave the green light to earlier this year.
“Our clients are increasingly interested in accessing digital assets through exchange-traded products (ETPs) that offer convenient access, liquidity and transparency,” said Jay Jacobs, BlackRock’s head of U.S. thematic and active ETFs, following the approval of its Ether spot ETF. “Ethereum’s appeal lies in its decentralized nature and its potential to drive digital transformation in finance and other industries.”
Will Spot Ether ETFs Replicate the Success of Bitcoin ETFs?
Ethereum is the second largest cryptocurrency by market capitalization, only after Bitcoin. However, while Bitcoin leads the market with a market cap of over $1.32 trillion, Ethereum only has $415.8 billion. This suggests that demand for Ethereum ETFs may be much lower than its Bitcoin counterpart due to its size.
To attract investors, all spot Ether ETFs except Grayscale have kept base fees between 0.15% and 0.25%. Fidelity, 21Shares, Bitwise, Franklin, and VanEck will also waive all fees until a set period or a set amount of net assets is reached.
The SEC approval, however, has not had a significant impact on Ethereum prices on cryptocurrency exchanges. Over the past 24 hours, the cryptocurrency has lost 1.6% of its value and is trading at around $4,560, at press time, compared to the peak of $4,700 reached in November 2021.
At the same time, many companies are now trying to get approval for Solana-based ETFs, in order to bring more cryptocurrencies to the mainstream market.
The Securities and Exchange Commission (SEC) has given final approval to Ethereum exchange-traded funds (ETFs), which will see the instruments listed and traded on three U.S. exchanges on July 23.
The final stamp on the S-1 registration forms of Ethereum spot ETF issuers came two months after the regulator approved the listing of cryptographic instruments on the Nasdaq, the New York Stock Exchange and the Chicago Board Options Exchange.
THE Approved Issuers of Spot Ether ETF Other such companies include BlackRock, Fidelity, 21Shares, Bitwise, Franklin Templeton, VanEck, and Invesco Galaxy. Interestingly, all of them also offer spot Bitcoin ETFs, which the SEC gave the green light to earlier this year.
“Our clients are increasingly interested in accessing digital assets through exchange-traded products (ETPs) that offer convenient access, liquidity and transparency,” said Jay Jacobs, BlackRock’s head of U.S. thematic and active ETFs, following the approval of its Ether spot ETF. “Ethereum’s appeal lies in its decentralized nature and its potential to drive digital transformation in finance and other industries.”
Will Spot Ether ETFs Replicate the Success of Bitcoin ETFs?
Ethereum is the second largest cryptocurrency by market capitalization, only after Bitcoin. However, while Bitcoin leads the market with a market cap of over $1.32 trillion, Ethereum only has $415.8 billion. This suggests that demand for Ethereum ETFs may be much lower than its Bitcoin counterpart due to its size.
To attract investors, all spot Ether ETFs except Grayscale have kept base fees between 0.15% and 0.25%. Fidelity, 21Shares, Bitwise, Franklin, and VanEck will also waive all fees until a set period or a set amount of net assets is reached.
The SEC approval, however, has not had a significant impact on Ethereum prices on cryptocurrency exchanges. Over the past 24 hours, the cryptocurrency has lost 1.6% of its value and is trading at around $4,560, at press time, compared to the peak of $4,700 reached in November 2021.
At the same time, many companies are now trying to get approval for Solana-based ETFs, in order to bring more cryptocurrencies to the mainstream market.