Franklin Templeton Enters the Battle with ETH Rally
Franklin Templeton, a Wall Street magnate and asset manager, applied. Ethereum Spot Exchange-Traded Fund (ETF) after struggling to gain approval for the Bitcoin Spot ETF in early January.
Asset Manager File for Spot Ethereum ETF
Asset managers have been drawn to the Ethereum spot ETF since the U.S. Securities and Exchange Commission (SEC) approved a spot Bitcoin ETF. Franklin Templeton This is the latest manager to apply to the SEC to seek approval for this financial product.
The asset manager’s move comes after the successful introduction of a BTC spot ETF. This is a notable step towards making more cryptocurrency investment products accessible to institutional and retail investors.
James Seyffart, senior analyst at Bloomberg Intelligence, also shared an update with the cryptocurrency community on X (formerly Twitter). Contains X posts by Seyffart. Screenshots of the property manager’s documents and data about other applicants.
According to the post, Franklin Templeton is the eighth company to apply for product approval in the cryptocurrency market. Previous asset managers that have submitted applications for an Ethereum ETF include Hashdex. black stoneFidelity, Ark and 21Shares; grayscaleVanEck, Investco and Galaxy.
According to an official filing, the Delaware statutory trust is how the Franklin Ethereum Trust is set up. ETFs aim to provide investors with access to ETH We manage it in a regulated manner by allowing it to be stored directly through a custodian.
The company’s S-1 filing states that the proposed “Franklin Ethereum Trust” will hold ETH and “may from time to time stake a portion of the fund’s assets through one of the more reliable staking providers.”
Staking is the act of locking up digital currency to maintain the operation of a blockchain network. They plan to stake some of the ETF’s ETH holdings to supplement their returns through staking rewards.
ETH rally price during update
Franklin Templeton Spot Ethereum ETF application has been completed. Considering that the price of ETH is showing an upward trend. However, there is no hard evidence that the latest developments have had an impact on the prices of cryptocurrency assets.
Related Reading: Ethereum ETF Approval Date Set for May 23, Predictions Show ETH Could Hit $4,000.
Ethereum was trading at $2,661 at press time, up more than 7%. In the last 24 hours. Market capitalization is also on the rise, up more than 7%, according to data from CoinMarketCap.
Meanwhile, trading volume has increased significantly by more than 172% over the past day. Due to this increase, ETH now ranks third in the overall cryptocurrency market by trading volume.
Featured image from iStock, chart from Tradingview.com
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