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The post Franklin Templeton’s Ethereum ETF Listed Despite SEC Rejection Rumors appeared first on Coinpedia Fintech News

Whispers in financial circles suggest that the SEC might reject Ethereum ETFs by the looming May 23rd deadline. However, Franklin Templeton’s recent move has caught everyone off guard.

In a bold move, Franklin Templeton has listed its “Franklin Ethereum TR Ethereum ETF,” bearing the code EZET, on the Depository Trust and Clearing Corporation (DTCC). This unexpected move comes at a time when rumors swirl about the SEC’s reluctance to approve Ethereum-based ETFs.

What’s the truth? Let’s find out.

A Closer Look at Franklin’s Ethereum ETF

The listing on DTCC’s platform is a significant milestone for Franklin Templeton, thrusting them into the Ethereum ETF arena alongside industry giants like BlackRock, Grayscale, VanEck, and ARK Invest. Their Ethereum ETF, now live on DTCC, enjoys eligibility for creation and redemption, crucial elements ensuring market price alignment with net asset value.

Despite this bold move, Franklin Templeton’s listing doesn’t guarantee the SEC’s approval for their spot Ethereum ETF, slated for decision next month. SEC Chair Gary Gensler’s cautious stance on Ether’s security classification adds further uncertainty to the mix.

Also Read: Clock Ticking for Spot Ethereum ETF: Will Grayscale’s New Strategy Pay Off?

Regulations Aren’t Easy to Navigate

The SEC’s hesitation casts a shadow over the fate of Ethereum-based ETFs, with Gensler’s earlier comments on CNBC providing little reassurance. While Bitcoin ETFs gained approval, Ethereum’s path remains uncertain, leaving analysts and investors on edge.

Uncertainty Clouds

Industry insiders speculate that recent SEC-Crypto industry interactions point to a probable rejection. Talks have been described as one-sided, signaling a lack of enthusiasm from the regulatory side compared to the thorough discussions preceding Bitcoin ETF approvals.

Looking Forward

With the SEC’s potential denial looming large, the road ahead for Ethereum ETFs looks challenging. Bloomberg ETF analyst Eric Balchunas puts the odds of approval at a mere 25%, underscoring the stark difference in regulatory engagement compared to Bitcoin ETF deliberations.

Franklin Templeton’s bold listing on DTCC amidst this uncertainty highlights a pivotal moment in the ETF landscape. As May 23rd approaches, all eyes remain glued to the SEC, awaiting its verdict on Ethereum’s ETF journey.

Read More: Bitcoin, Ethereum, And XRP Price Prediction: Will Bulls Make A Comeback This Week?

The post Franklin Templeton’s Ethereum ETF Listed Despite SEC Rejection Rumors appeared first on Coinpedia.org.