SEC approves Ethereum spot ETF, preparing to begin trading

The US Securities Commission (SEC) has approved the majority of Ethereum spot ETF proposals, allowing trading to begin on July 23 (US time).

True to many previous signals, the SEC has finally given the final nod to Ethereum spot ETF proposals, making ETH the second cryptocurrency after Bitcoin to be established as a spot ETF.

Specifically, ETF products of 21Shares (CETH), Bitwise (ETHW), BlackRock (ETHA), Fidelity (FETH), Franklin Templeton (EZET), VanEck (ETHV), Invesco Galaxy (QETH), are all allowed to start transaction on July 23 (US time). The two funds Grayscale Ethereum Mini Trust (ETH) and Grayscale Ethereum Trust (ETHE) have not yet had official approval documents published by the SEC, but are predicted by observers to soon be approved by the SEC.

Except for Grayscale's ETHE fund, which has an annual management fee of up to 2.5%, the remaining funds continue to compete in terms of fees, all offering very low fees from 0.15-0.25%, as well as incentives. Additional initial free period from 6 to 12 months.

In the official press release, a representative of the world's largest asset management company BlackRock said: "The appeal of Ethereum lies in the decentralized nature of this currency, as well as its potential to promote conversion." numbers in finance and other fields". BlackRock has also updated its website to promote its latest products.

iShares *homepage*...

Here we go again. pic.twitter.com/XNpfG0uWJ3— Nate Geraci (@NateGeraci) July 22, 2024

Similarly, the remaining Wall Street giants also began posting introductory information for investors after the SEC approved the ETH ETF.

Introducing ETHW—the Bitwise Ethereum ETF.

- Fund invests directly in ETH

- 0.20% management fee (0% for first six months / $500M)

- Donates 10% of profits to Ethereum open-source developers*

- Fund's Ethereum addresses public for transparency

- Built by crypto specialists… pic.twitter.com/7Pb7Lz2wPj— Bitwise (@BitwiseInvest) July 22, 2024

As reported, since Bitcoin ETFs appeared in January 2024, the market's focus has turned to Ethereum ETFs. In recent months, the US Securities and Exchange Commission has dramatically changed its stance, going from continuously remaining silent on Ethereum ETF proposals, even threatening to investigate ETH on securities charges, to Preliminary approval of 8 ETH ETF proposals in just a few days in mid-May, and then requiring issuers to complete documents for official approval today.

A recent study by Citigroup bank predicts that Ethereum ETFs will attract cash flows from 4.7 to 5.4 billion USD in the first 6 months of operation. Although this number is 70% lower than the $16.1 billion cash flow that Bitcoin ETFs made in the first half year of trading, it promises to still bring a huge boost to the cryptocurrency. second largest in the world.

ETH price did not react much to the news that Ethereum ETFs began trading on July 23, instead continuing to move sideways in the old price range.