Asset management company Franklin Templeton has launched its ethereum exchange-traded fund (ETF), named “Franklin ethereum TR ethereum ETF,” with the ticker code EZET.
The ethereum spot ETF has been list on the website of the Depository Trust and Clearing Corporation, a major platform for securities transactions in the United States.
The listing in the “Create/Redeem” column of the DTCC indicates that the ETF is now available for creation and redemption, indicating a significant step in its operational implementation.
The listing does not imply approval from the US Securities and Exchange Commission (SEC), which is still pending.
Listing on the DTCC website means that the ETF has completed certain registration or compliance processes, making it eligible to trade and settle within the DTCC systems.
Final approval, however, depends on the SEC's evaluation under various regulatory standards.
Franklin Templeton filed an S-1 form with the SEC in February, seeking to launch an Ether (eth) spot ETF. If approved, it will trade as “Franklin ethereum ETF” on the Chicago Board Options Exchange.
However, in a recent update in April, the SEC announced a delay in its decision on the application, extending the review period for an additional 45 days until June 11.
Industry heavyweights including BlackRock, Grayscale, VanEck and ARK Invest are also contenders in the race to secure approval for their own place in Ether ETFs.
However, the prospects for these ethereum-based ETFs gaining SEC approval appear to be different from those of bitcoin spot ETFs, which received the green light in January.
In March, Bloomberg ETF analyst Eric Balchunas assessed the probability of a spot Ether ETF being approved in May at around 35%. He noted the SEC's less proactive approach compared to bitcoin ETF applications.
Balchunas also mentioned that SEC Chairman Gary Gensler's views on Ether and his reluctance to explicitly define it as a security could influence the final outcome.