Exploring Franklin Templeton’s Ethereum ETF Listing
Asset management firm Franklin Templeton has recently listed its Ethereum exchange-traded fund (ETF) under the ticker EZET on the Depository Trust and Clearing Corporation (DTCC) website. Even though the “Franklin Templeton Ethereum TR Ethereum ETF” is already listed, it is crucial to note that the product is awaiting approval by the U.S. Securities and Exchange Commission (SEC).
Franklin Templeton Awaits Regulatory Approval
On February 12, Franklin Templeton officially filed with the SEC, indicating its interest in offering an Ethereum ETF to investors. This move aligns Franklin Templeton with other prominent asset managers like BlackRock, Fidelity, and Grayscale, all of whom have submitted applications for similar ETFs.
SEC Delays Decision on Ethereum ETF Applications
Last week, the SEC decided to extend the deadline for reviewing Franklin Templeton’s proposed Ethereum ETF until June 11. This delay adds to the ongoing uncertainty surrounding the approval of this financial product. The proposed ETF aims to track the price of ether, utilizing Coinbase Custody Trust Company and the Bank of New York Mellon as custodians.
SEC’s Stance on Ethereum ETFs
The SEC recently postponed its decision on approving a BlackRock Ethereum ETF, giving them until May 23 to make a final determination on VanEck’s application. Analysts like James Seyffart remain skeptical about the eventual approval of these ETFs, hinting that the SEC may choose to reject them.
- The SEC may categorize Ethereum as a security, although it currently does not hold this designation.
- Regulatory agencies like the SEC continue to observe the cryptocurrency industry, signaling potential changes or new guidelines.
Consensys Challenges SEC Over Ethereum Regulation
Ethereum development company Consensys, led by Joe Lubin, recently filed a lawsuit against the SEC, criticizing their stringent regulations surrounding the Ethereum blockchain. Lubin emphasized the importance of preserving access to ether and the Ethereum platform, calling out the SEC for its regulatory overreach.
- Consensys believes that the SEC’s approach is causing disruptions for developers, market participants, and institutions operating on Ethereum.
- This legal action signifies a pushback against the SEC’s regulatory measures.
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