Franklin Templeton applies for a spot Ethereum ETF

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Franklin Templeton applies for a spot Ethereum ETF
Franklin Templeton applies for a spot Ethereum ETF

While the two largest new participants in the spot bitcoin ETF competition, BlackRock and Fidelity (FIS.N), have assets of $4.18 billion and $3.49 billion, respectively, Franklin Templeton is near the bottom of the league table.

Franklin Templeton (BEN.N.) announced on Monday that it had officially registered for a spot ethereum exchange-traded fund, making it the seventh company competing to enter the market with a similar product.

In January, the Securities and Exchange Commission (SEC) approved 11 spot bitcoin ETFs, marking a watershed event for the crypto industry, which had been lobbying for regulatory clearance for those products for more than a decade.

A spot crypto ETF tracks the market price of the underlying digital asset, allowing investors to have exposure to the token without purchasing it.

With Franklin’s registration, there are now eight ETF providers vying to provide spot ether ETFs, all of whom launched spot bitcoin products in January.

While the two largest new participants in the spot bitcoin ETF competition, BlackRock and Fidelity (FIS.N), have assets of $4.18 billion and $3.49 billion, respectively, Franklin Templeton is near the bottom of the league table.

BitMEX Research reported that the Franklin Bitcoin ETF’s assets comprised barely $77 million. Seven of the nine recently established spot bitcoin ETFs now have holdings greater than $100 million.

The senior asset management firm formed in 1947 is not giving up just yet, and it is investing money on Google ads to market the spot bitcoin ETF.

Last month, the SEC delayed its decision on Grayscale Investments’ application to convert its ethereum trust product into a spot ETF. BlackRock’s bid to introduce a comparable product was similarly delayed by the market regulator. VanEck was the first to apply for a spot Ethereum ETF, which the SEC must approve or refuse by May 23.

Coinbase Custody, a subsidiary of cryptocurrency exchange Coinbase (COIN.O), will keep the proposed ETF’s ether in custody. The company is also the proposed custodian for BlackRock’s ethereum ETF.

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