If you have been following the crypto community, you already know that ETFs (exchange-traded funds) are not a big thing in the US, and there are no ETFs for Bitcoin in the US at all. Many have been presented to the SEC, but all of them ended up severely rejecting the idea. Canada, on the other hand, has two Bitcoin ETFs and multiple on Ethereum.
This time around, the request to seek approval from SEC for an ETF has been made for Ethereum by Kryptoin, an investment company. Kryptoin has already filed multiple requests for the Bitcoin-oriented ETFs to the SEC, with their recent try in April but always ended in a bitter rejection.
But this time around, the investment firm is trying their luck with an Ethereum oriented ETF, and just maybe this time, SEC may give them the approval based on the exemplary activity taking place in the crypto market. The request is still at an early stage, which means that the company will be spending some time on this to polish it for SEC to approve it.
The trick here is to mask the volatility of the proposed ETF fund, which is more believable in the case of Ethereum rather than Bitcoin because Bitcoin, as the flagship cryptocurrency, has a serious volatility rate. That is the main reason why the firm went with an Ethereum backed ETF to the SEC this time around.
Kryptoin Ethereum ETF Trust
If the ETF gets approved by SEC, then it will be traded on the Cboe BZX exchange under the ETF name of ‘Kryptoin Ethereum ETF trust.’ The very custody for Ethereum to be purchased with this endeavor will be provided by the Gemini trust company.
As mentioned earlier, Kryptoin had seriously given it a chance back in the day with Bitcoin when the company amended their application for acquiring approval for Bitcoin ETF by the SEC, but it was rejected. The provisions, however, were the same as those in the Ethereum, such as listing Cboe BZX exchange and the Gemini trust company. But this time around, the investment firm is more than confident that they will definitely get approval with Ethereum; if it does get approval, then it would be the first for many more to come.