Public Commenting Window Opens for Fidelity's Ethereum ETF Proposal

By: Isha Das

The U.S. Securities and Exchange Commission (SEC) has opened a commenting window for a proposed spot Fidelity's Ethereum ETF via a Nov. 30 filing. The proposal seeks a rule change by the Cboe BZX Exchange, allowing for the listing and trading of Ethereum Fund shares.

The SEC's request resembles earlier filings for spot crypto ETF proposals and seeks views on matters such as surveillance, custodianship, and potential market manipulation. Importantly, it emphasizes a surveillance sharing agreement established in June between Coinbase and Cboe BZX.

The commission will most likely reach a decision next year, with Bloomberg ETF analyst Jason Seyffart approximating Jan. 21, 2024, as the next decision deadline and a final call by March 8, 2024. BlackRock filed for an equivalent fund in Nov. 15, days before Fidelity's proposal. Other major players in the asset management field, like VanEck and Grayscale, also have pending spot crypto ETF proposals.