Ethereum

Bitcoin

Fidelity Investments, a prominent asset management firm, has joined the ranks of financial giants seeking approval for a spot Ethereum (ETH) Exchange Traded Fund (ETF) by <a href="https://cdn.cboe.com/resources/regulation/rule_filings/pending/2023/SR-CboeBZX-2023-095.pdf" rel="noopener noreferrer nofollow">filling </a>with the Securities and Exchange Commission (SEC).&nbsp;
In this recent development, Fidelity outlines its intent to launch the “Fidelity Ethereum Fund”, positioning itself to track the performance of Ethereum. Notably, this move underscores Fidelity’s recognition of the growing significance of Ethereum in the investment landscape.&nbsp;
By filing for an Ethereum ETF, Fidelity aims to provide investors with an avenue to gain exposure to the performance of ETH without directly holding the cryptocurrency. Likewise, this move aligns with the broader trend in the financial industry, where traditional institutions are increasingly exploring opportunities within the expanding digital asset space.&nbsp;
With Fidelity’s application, it joins the likes of other asset managers including Ark Invest, 21Shares, Hashdex, and BlackRock amongst others who are in queue to secure approval to list a spot ETF. It plans to operate the Fidelity Ethereum Fund under the BZX Rule if approved.
<h2 id="b-fidelity-confident-of-the-sec-approval-b">Fidelity Confident of The SEC Approval</h2>
Citing an excerpt from the ruling in the SEC vs Grayscale lawsuit, the American investment manager is positive it would get the green light from the regulators. As per the court ruling, the SEC had no grounds to deny Grayscale’s request to convert its Bitcoin Trust into a Bitcoin Exchange Traded fund product since futures tied to Bitcoin had already been approved.
After the ruling, there are indications that both the SEC and Grayscale are in consultation about the ETF product.
<h2 id="b-approval-of-spot-etf-products-is-near-b">Approval of Spot ETF Products is Near</h2>
Interestingly, the chances for US investors to be offered ETF products draw ever closer. With the presence of industry heavyweights, it is now a question of when. Mike Novogratz, the CEO of Galaxy Digital has predicted that <a href="https://thecoinrise.com/bitcoin-etf-will-drive-institutional-adoption-in-2024-mike-novogratz/" rel="noopener noreferrer nofollow">spot ETF will drive institutional adoption of cryptocurrency and other digital assets</a> in 2024.
<h2 id="b-fidelity-is-a-major-contender-b">Fidelity is A Major Contender</h2>
Meanwhile, Fidelity Investments is not a newcomer to the digital asset industry. Its <a href="https://thecoinrise.com/fidelity-investments-submits-application-for-spot-bitcoin-etf-with-sec/" rel="noopener noreferrer nofollow">filing for spot Bitcoin (BTC) ETF with the SEC in June</a> marks the company’s second attempt to bring such a product to market. In 2022, Fidelity’s<a href="https://thecoinrise.com/us-sec-rejects-fidelitys-wise-origin-bitcoin-trust-spot-etf-application/" rel="noopener noreferrer nofollow"> previous application for a BTC ETF did not receive approval</a> from the US SEC.
Notably, the company is a major player in the financial business, managing about $11 trillion in assets. The firm’s extensive experience and expertise make it a notable contender in the digital asset space.
Interestingly, Fidelity has been actively involved in the crypto industry since 2018 when it launched Fidelity Digital Assets, a subsidiary dedicated to providing custodial and trading services for cryptocurrencies like Bitcoin.
The post <a href="https://thecoinrise.com/fidelity-investments-seeks-sec-approval-for-its-ethereum-etf/" rel="noopener noreferrer nofollow">Fidelity Investments Seeks SEC Approval for Its Ethereum ETF</a> appeared first on <a href="https://thecoinrise.com" rel="noopener noreferrer nofollow">Latest News and Insights on Blockchain, Cryptocurrency, and Investing</a>.

Fidelity Investments Seeks SEC Approval for Its Ethereum ETF

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