tl;dr
BlackRock and Grayscale have filed amendments to their spot Ethereum exchange-traded fund (ETF) applications after the SEC delayed its decision on multiple proposals for Ethereum ETFs. BlackRock's amendment calls for cash-based creation and redemptions for its iShares Ethereum Trust. Grayscale filed...
BlackRock and Grayscale have filed amendments to their spot Ethereum exchange-traded fund (ETF) applications after the SEC delayed its decision on multiple proposals for Ethereum ETFs.
In an updated 19-b 4 filing, investment giant BlackRock introduced a proposed rule change to its plan to list and trade shares in the iShares Ethereum Trust. The change calls for creation and redemptions to be cash-based rather than in-kind, noting that "the authorized participants will deliver only cash to create shares and will receive only cash when redeeming shares."
Grayscale, meanwhile, has filed an S-3 registration statement as part of its bid to turn its existing Grayscale Ethereum Trust into a spot Ethereum ETF. Grayscale also filed a Form S-1 for a mini Ethereum ETF, trading on NYSE Arca under the ticker ETH.
The flurry of filings comes on the heels of the SEC's announcement that it would delay its decision on spot Ethereum ETF proposals from Grayscale Investments and Franklin Templeton.
After the SEC reluctantly approved multiple spot Bitcoin ETFs in January, hopes were initially high that the regulator would swiftly rubber-stamp approval of spot Ethereum ETFs. However, optimism among ETF watchers has dwindled, with predictions ranging from a 25% to 50% chance of approval by the upcoming May 23 deadline.
"That said, this definitely tells me that issuers aren't giving up the fight," Bloomberg ETF analyst James Seyffart commented following the filings.
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