- More revised registration statements are anticipated to be filed soon. On Thursday, Grayscale filed its amended S-3 registration statement, one day after BlackRock filed its amended S-1 statement.
- In its most recent filing, Grayscale talked about Ether’s regulatory handling.
The most recent issue to amend the registration statement for its proposed Ethereum ETH +0.22% fund is Grayscale Investments, which added details about how ether is treated and how much of it the trust possesses.
One day after BlackRock filed its revised S-1 statement and one week after the U.S. Securities and Exchange Commission authorized 19b-4 forms for eight Ethereum exchange-traded funds, Grayscale filed its modified S-3 registration statement on Thursday.
In the amended filing, the crypto asset management added new information regarding the amount of ether required to produce a basket of shares.
According to the most recent filing, as of May 28, 2024, around 0.94552590 ether was needed to construct a basket of 100 shares, and 94.552590 ether would have been needed to produce a basket of 10,000 shares once the Amended Trust Agreement went into force.
The SEC has urged issuers to submit their drafts by Friday, so more registration statements are anticipated to be issued, people close to the situation told The Block. ETF trading is not permitted until the registration statements take effect.
In October of last year, Grayscale made the decision to transform its Ethereum trust into a spot ether ETF. According to its registration, the Grayscale Ethereum trust, which debuted in March 2019, is the biggest ETH investment vehicle globally. According to Grayscale, as of March 31, the trust owned roughly 2.5% of all circulating Ether.
Ether’s situation
Some in the cryptocurrency space have been speculating about whether Ether will continue to be regarded as a security and fall under the purview of the SEC ever since spot Ethereum ETFs were approved last week. Ether is no longer a security, according to some, including Paul Grewal, Chief Legal Officer of Coinbase.
The SEC, among other federal and state agencies, has not formally declared or issued guidelines or regulations pertaining to Ether.
However, Grayscale noted that the SEC has implicitly adopted the stance that Ether is a commodity by virtue of its delegated authority to approve exchange rule filings that list shares of trusts holding Ether as exchange-traded products based on commodities.
Disclaimer : This article was created for informational purposes only and should not be taken as investment advice. An asset’s past performance does not predict its future returns. Before making an investment, please conduct your own research, as digital assets like cryptocurrencies are highly risky and volatile financial instruments.
