- Fidelity Investments has filed for an Ethereum exchange-traded fund (ETF).
- According to Seyffart, Fidelity is the 7th company to submit a spot Ethereum ETF proposal.
- Fidelity intends to list the Ethereum ETF on an exchange owned by Cboe Global Markets.
Fidelity Investments, a renowned money management outfit, has filed for an Ethereum exchange-traded fund (ETF). According to reports, James Seyffart, a top ETF analyst, posted a screenshot of the filing on his X app account. The shared content noted that “The Exchange proposes to list and trade shares of the Fidelity Ethereum Fund under BZX Rule 14.11(e)(4) Commodity-Based Trust Shares.
According to Seyffart, Fidelity becomes the 7th company to submit a spot Ethereum ETF proposal by this filing. The other companies with similar proposals include VanEck, 21Shares and Ark, Hashdex, Grayscale, Invesco and Galaxy, and BlackRock.
Based on the submitted proposal, Fidelity intends to list the Ethereum ETF on an exchange owned by Cboe Global Markets. However, like the other proposals before it, Fidelity’s spot Ethereum ETF awaits approval by the Security and Exchange Commission (SEC). Notably, Fidelity and other money management giants are also awaiting the SEC’s spot Bitcoin ETF approval for their proposals.
Crypto optimists believe that spot ETFs for Bitcoin and Ethereum, the two largest cryptocurrencies, would shake up the crypto market. There is a general belief that it would open the market and make it easier for mainstream investors to participate in the novel marketplace.
With spot ETFs, conventional brokerage accounts would allow users to buy listed ETFs and trade them like stocks. Theoretically, spot ETFs would attract an influx of investment into the digital assets industry, particularly with the involvement of market behemoths like Fidelity and BlackRock.
Ethereum jumped nearly 13% on November 9 following reports of a BlackRock Ethereum ETF filing. The price reached a local high of $2,136 but has since retraced in consolidation. Data from TradingView showed that Ethereum traded for $1,934 at the time of writing.
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