Despite the regulatory uncertainty, Fidelity Investments filed registration documents on March 27, taking another step toward launching an Ethereum spot ETF.
Cboe had previously planned to file for the ETF, having filed a Form 19b-4 with the SEC on behalf of Fidelity in November 2023.
Fidelity’s move, along with that of other companies aiming to launch spot Ethereum ETFs, points to growing interest in integrating digital assets into traditional financial products. However, obtaining regulatory approval is a significant challenge, highlighting the ongoing development and uncertainty of cryptocurrency regulation.
S-1 Filing
The company’s recent Form S-1 filing marks an important step in the Fidelity Ethereum Fund’s pursuit of SEC approval to begin trading. Regulators must approve Forms 19b-4 and S-1 before a fund can trade.
The company’s recent filing of Form S-1 marks an important step in Fidelity Ethereum’s quest to seek SEC approval for a fund to begin trading. Before the fund can trade, regulators must approve Forms 19b-4 and S-1.
Fidelity's most recent filing did not reveal details about the fund, such as its ticker symbol and trading fees. However, it detailed the fund’s plan to entrust a portion of its assets to one or more staking infrastructure providers and anticipated that dividend income from Ethereum may be treated as income for federal income tax purposes.
Fidelity Digital Asset Services, as the fund custodian, will exclusively keep the private keys related to ETH for any rights and interests to ensure the security of fund operations.
Regulators plan to make a decision by the end of May on whether to approve exchange-traded funds (ETFs) that directly hold ether (ETH). However, industry experts predict that the SEC may not be as open to Ethereum as it is to Bitcoin.
uncertain situation
The SEC approved a spot Bitcoin ETF in January, leading to expectations of the opening of other cryptocurrency-based investment products. However, the regulator said at the time that the approval did not mean the regulator’s stance on the digital asset industry had softened.
The Ethereum Foundation recently revealed that it is under review by an unnamed “national authority,” raising concerns about the future of Ethereum and the impact of related ETF approvals.
The investigation has fueled speculation about its impact on Ethereum’s market performance and regulatory status.
Meanwhile, Republican lawmakers are urging the SEC to provide clear guidance on Ethereum’s regulatory classification, emphasizing the need for clear guidance to alleviate market uncertainty.
Still, the industry remains optimistic about the approval of an Ethereum ETF, citing previous cooperation with the SEC on a Bitcoin ETF as a positive precedent. #Fidelity #以太坊ETF
