Investment heavyweight Fidelity have revised their application for a Ether (ETH) Exchange-Traded Fund (ETF), according to recent filings with the U.S. Securities and Exchange Commission. These filings reveal that affiliate company, FMR capital, invested $4.7 million to seed the funds’ basket with 1,250 Ether, acquired using 125,000 shares purchased at $38 apiece. Furthermore, it was confirmed that Fidelity has no plans to engage in ETH staking.
Staking services, originally included in Fidelity’s initial proposal one month prior, were omitted from this updated filing. A statement detailed that the trust wouldn’t participate in the proof-of-stake validation mechanism of the Ethereum network or seek additional profit through its ether holdings. This is significant as staking is an increasingly popular trend within crypto for earning additional rewards.
A rule change led by the SEC has granted approval for the listing and trading of Ether ETFs from numerous prominent asset managers, including VanEck, BlackRock, Grayscale, and Franklin Templeton. Still, these Ether ETFs need the SEC’s green light for their S-1 forms prior to any trading kick-off.
Bloomberg analyst, Eric Balchunas, reiterates expectations for multiple asset managers to adjust their documentation on June 21st. In his estimation, we should anticipate the debut of these funds on July 2nd.
Meanwhile, asset manager Bitwise has also amended its proposal with the SEC and intents to invest $100 million in the ETF from Pantera Capital upon its trading launch. Elsewhere, Hashdex is seeking regulatory approval for a combined spot Bitcoin and Ether ETF on the Nasdaq exchange, and has recently concluded plans for a standalone Ether ETF.