Asset manager Franklin Templeton Fund has made a significant move into cryptocurrency investing by listing its Ethereum exchange-traded fund (ETF), under the ticker EZET, on the website of the Depository Trust and Clearing Corporation (DTCC).
The "Franklin Templeton Ethereum TR Ethereum ETF" is located in the "Create or Redeem" section of the DTCC platform. However, it is important to note that this ETF is still awaiting approval from the US Securities and Exchange Commission (SEC), reports Cryptonews.
Franklin Templeton filed an application with the SEC to launch a spot Ethereum ETF on February 12, joining a number of major asset managers such as BlackRock, Fidelity, and others seeking similar approval. The SEC has postponed a decision on Franklin Templeton's application, with a new deadline of June 11.
Franklin Templeton's proposed ETF would track the price of ether and plans to use Coinbase Custody Trust Company and Bank of New York Mellon as custodians.
The SEC's stance on ETH ETFs remains quite critical. The SEC's decision to delay came after similar delays, including BlackRock's Ethereum ETF. The regulator now has until May 23 to review VanEck's application for an Ethereum ETF tracking the popular cryptocurrency.
Bloomberg Intelligence analyst James Seyffarth expressed doubts about a favorable decision and approval of these Ether ETF applications.
Justin Sun, CEO and founder of Tron, also weighed in on the matter, expressing skepticism about the likelihood of Ethereum ETF approval in May. He emphasized the need for "long-term education of regulators" regarding cryptocurrencies such as Ethereum.
Loading...
There are concerns in the crypto community that Ethereum's status is still uncertain. So far, the US Securities and Exchange Commission (SEC) has not classified ETH as a security, but there are grounds to do so, as several US companies have already been served with subpoenas demanding that ETH be reclassified as a security.
While Ethereum is widely regarded as a decentralized cryptocurrency, the regulatory environment remains dynamic, and agencies such as the SEC are keeping a close eye on developments. Any sudden changes or new rulings could have a significant impact on Ethereum's legal status. Therefore, it is crucial for market participants to keep an eye on regulatory updates.
As a reminder, Consensys had previously filed a lawsuit against the SEC over Ethereum's classification, indicating the growing tension and uncertainty surrounding Ethereum's regulatory status.
Read also: Robinhood Wallet launches cross-chain exchange on Polygon (MATIC)