While the US financial markets regulator is still reluctant to approve a crypto exchange-traded fund (ETF), more and more applications are pouring in. WisdomTree applied on Thursday for the approval of an Etheruem ETF.
WisdomTree, which has already applied for a Bitcoin ETF, has become the second company to seek approval for an ETH ETF in the United States. Earlier this month, VanEck submitted a similar ETH investment vehicle.
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According to the S-1 form filed with the Securities and Exchange Commission (SEC), WisdomTree Ethereum Trust is planning to list the ETH ETF. The crypto ETF will be listed on Cboe BZX Exchange, the exchange where the planned Bitcoin ETF is planned to list.
“As the Shares are listed on the Exchange, investors can indirectly invest in a portfolio comprised of ether through a traditional brokerage account,” the filing stated.
“The Trust provides investors with the opportunity to access the market for ether through a traditional brokerage account without the potential barriers to entry or risks involved with holding or transferring ether directly, acquiring it from an ether exchange, or mining it.”
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Though there are only two companies that want to list Ethereum ETF, several are interested in a Bitcoin ETF. Fidelity, VanEck and Kryptoin are only a few of the companies with applications for Bitcoin ETF submitted with the SEC.
Crypto ETFs will track the price of the underlying digital asset and can be traded easily on any stock exchange with a regular brokerage account. This will cut the complexities of the crypto investment in the current form, making digital currencies accessible to the masses.
Recently, Canada approved several cryptocurrency ETFs, tracking both Bitcoin and Ethereum, and all these funds are performing very well with massive investor interests. Now, it is to be seen when the SEC will approve the first crypto ETF in the United States after years of rejections.