Delaware-based Kryptoin Investment Advisors filed an application for an Ethereum exchange-traded fund with the US Securities and Exchange Commission on Aug. 12.
Kryptoin’s Ethereum ETF to Be Listed on the CBOE After Approval
The Kryptoin Ethereum ETF Trust was filed on August 12 to offer exposure to Ethereum at a price that reflects the actual Ethereum market.
If approved, Kryptoin’s Ethereum ETF will be listed on the Chicago Board Options Exchange’s (CBOE) BZX. The document states that the trust will hold ETH and determine the daily value of its shares based on the US settlement price of CF Ether-Dollar US. She explained that this is an independently calculated value based on a summary of the executed transaction flow from the major ETH spot exchanges.
It added that all ETH assets are held with the Gemini Trust Company, which has been carefully selected and authorized by the New York State Department of Financial Services (NYDFS) to provide digital asset custody services.
21 Crypto ETFs Submitted in 2021
At least 20 more exchange-traded cryptocurrency funds have been submitted so far this year, according to Eric Balchunas, a senior EFT analyst at Bloomberg.
“This would be physically backed so is under 1933 Act so prob on ice for a while. Not sure what # filing this, it’s def over 20 tho.”
Financial analyst James Seyffart added:
“21… crazy. And it’s the twenty-first crypto ETF filing in 2021 and the 3rd Ethereum ETF after WisdomTree and VanEck”
On May 7th, VanEck filed for its Ethereum ETF and on May 28th, Wisdom Tree filed an application for a similar fund with the US Securities and Exchange Commission.
Kryptoin had previously attempted to get an approved Bitcoin ETF in 2019. After being denied, it tried to return the document in April, but the document is still under review by the SEC.
On June 9, the US Securities and Exchange Commission announced that it would take more time to review BTC ETF applications. This is a procrastination strategy that has been widely used by the agency, and that same month the WisdomTree ETF was postponed.
In late May, Hester Peirce, a member of the US Securities and Exchange Commission, stated that “it has been a long time since we approved products for Bitcoin exchange trading.” However, financial regulators continued to hesitate without approving a product.