The U.S. Securities and Exchange Commission (SEC) has issued a request for comment on Fidelity’s application for a spot Ethereum exchange-traded fund (ETF).
“The Commission is publishing this notice to solicit comments from interested parties regarding the proposed rule change,” the statement declared.
SEC Wants Public Comments on Fidelity’s Application
In a recent court filing, the SEC urged individuals interested in expressing their opinions on the Fidelity spot Ethereum ETF application to do so through various channels.
“Interested persons are invited to submit written data, views and arguments related to the foregoing, including whether the proposed rule changes are consistent with the law.”
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The filing states that Fidelity proposes rule changes that would allow shares of the Fidelity Ethereum Fund to be listed and traded.
It also declares that the purpose of the trust is to track the performance of ETH. However, the deduction is taken into account by subtracting the trust’s expenses and other liabilities.
At the time of publication, the price of Ethereum is $2,047.
Other Countries Outperform the U.S. in ETF Offerings
Fidelity states that each share represents a partial undivided beneficial interest in the net assets of the trust.
In the filing, Fidelity highlights that there is no regulated vehicle for securing Ethereum exposure in the United States.
Moreover, it is argued that this forces one to face the risks of the other side. Additionally, there are legal ambiguities, technical issues, and complexities when accessing Ethereum.
Meanwhile, investors outside the United States, particularly citizens of Germany, Switzerland, and France, can access Ethereum through regulated means, he notes.
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