Fidelity seeks green light for Ethereum ETF, following BlackRock's filing

Just days after BlackRock filed for the iShares Ethereum Trust, asset management firm Fidelity has submitted an application for its own Ethereum exchange-traded fund (ETF).

Fidelity, an asset management firm overseeing $4.5 trillion in assets, has become the latest firm to seek approval for a spot Ethereum (ETH) exchange-traded fund (ETF).

In a filing with the United States Securities and Exchange Commission (SEC) on November 17, Fidelity proposes to list and trade shares of the Fidelity Ethereum Fund on the Cboe BZX Exchange.  

"According to the Registration Statement, each Share will represent a fractional undivided beneficial interest in the Trust’s net assets. The Trust’s assets will consist of ETH held by the Custodian on behalf of the Trust."

Update: @Fidelity joins the spot #ethereum ETF race by filing a 19b-4 with @CBOE https://t.co/rxNEzpzh3g pic.twitter.com/o96XspPDEP

— James Seyffart (@JSeyff) November 17, 2023

The filing argues that United States citizens lack a low-risk avenue to expose themselves to ETH. 

"U.S. retail investors have lacked a U.S. regulated, U.S. exchange- traded vehicle to gain exposure to ETH."

It further argued that the existing methods for accessing the digital asset involve encountering counter-party risk, legal uncertainty, and technical risk.

This comes after recent news that BlackRock officially filed for a spot Ether ETF, the iShares Ethereum Trust, with the SEC on Nov. 16.

Related: BlackRock argues SEC has no grounds to treat crypto futures and spot ETFs differently

BlackRock's filing comes nearly a week after it registered the iShares Ethereum Trust with Delaware’s Division of Corporations and almost six months after it filed its spot Bitcoin ETF application.

This is a developing story, and further information will be added as it becomes available.

from Cointelegraph.com News http://cointelegraph.com/news/fidelity-spot-ethereum-etf