Seven spot Ethereum ETF applicants have amended their registration statements with the SEC on June 21, fueling expectations of a trading launch in early July.
Major firms such as Franklin Templeton, VanEck, Invesco Galaxy, BlackRock, 21Shares, and Fidelity have submitted updated S-1 registrations for their respective funds. Grayscale also submitted an amended S-3 registration for its Ethereum Trust and an additional amended S-1 statement for its mini Ethereum Trust. Bitwise, however, did not make any amendments to its registration statement.
Bloomberg ETF analyst Eric Balchunas has predicted July 2 as a potential launch date for the funds, stating that the ball is now in the SEC’s court. Balchunas also believes that Ethereum ETFs are unlikely to attract as much assets under management (AUM) as Bitcoin ETFs.
In terms of fees, Franklin Templeton disclosed a 0.19% sponsor fee, which will be waived for the first $10 billion in assets for six months. VanEck disclosed a similar 0.20% sponsor fee, which will be waived for the first $1.5 billion in assets until an undisclosed date in 2025.
Balchunas anticipates that the competitive fees disclosed by these firms could pressure BlackRock to announce sponsor fees under 30 basis points for its fund. BlackRock and Fidelity have yet to disclose their sponsor fees, with experts noting that BlackRock’s fee will be a crucial detail that could spur competition among the firms.
The launch of spot Bitcoin ETFs earlier this year led to a “fee war” among issuers, with fees ranging between 0.19% and 0.39%. Grayscale’s GBTC stands out with a higher 1.5% fee.
Invesco Galaxy disclosed a $100,000 seed transaction on June 17, while Grayscale and Fidelity also revealed seed investments for their respective trusts. BlackRock had previously reported a $10 million seed funding for its ETF.
As anticipation builds for the launch of these Ethereum ETFs, investors are eagerly awaiting further details from the SEC and the participating firms.
