Franklin Templeton Files for Spot Ethereum ETF with SEC
Franklin Templeton has become the latest asset management firm to file for approval to open a spot ethereum exchange-traded fund (ETF) with the U.S. Securities and Exchange Commission (SEC). The firm, which manages $1.5 trillion in assets, joins a growing list of companies seeking approval for spot ETH ETFs, including ARK 21 Shares, VanEck, Hashdex, Invesco, BlackRock, and Fidelity, all of which filed for approval last fall.
The decision to pursue spot ETH ETFs comes in the wake of the successful launch of spot bitcoin ETFs on January 11, 2024. Franklin Templeton and the other seven firms wasted no time in launching their bitcoin ETFs on the first day of trading after receiving SEC approval. However, Franklin Templeton’s spot bitcoin ETF has not performed as well as some of its competitors, bringing in just $76 million as of February 9.
Despite this, the success of spot BTC ETFs has generated significant interest in ETFs for spot ETH. In fact, more than $1.1 billion flowed into the 11 spot BTC ETFs during the week ending February 9. As a result, analysts are predicting that the SEC may approve these funds by May 23, 2024. This timeline aligns with the SEC’s historical timing in approving spot bitcoin ETFs at the end of the 240-day review process.
Analyst comment
Positive news: Franklin Templeton has filed for approval to open a spot ethereum exchange-traded fund (ETF) with the SEC. This follows the success of spot bitcoin ETFs, generating significant interest in spot ETH ETFs. Analysts predict SEC approval by May 23, 2024, which aligns with historical timing.
