Franklin Templeton has listed its Ethereum exchange-traded fund (ETF) on the Depository Trust and Clearing Corporation (DTCC) website, under the ticker EZET. The ETF, called the “Franklin Templeton Ethereum TR Ethereum ETF,” is currently in the create or redeem column on the DTCC website. However, it has not yet been approved by the U.S. Securities and Exchange Commission (SEC).
Franklin Templeton submitted its spot Ethereum ETF application to the SEC on February 12, joining a long list of other asset managers, including BlackRock, Fidelity, Grayscale, VanEck, Invesco, Galaxy, Ark Invests, and 21Shares, who have also submitted applications for a spot Ethereum ETF.
The SEC recently announced a delay in its decision regarding Franklin Templeton’s proposed ETF, extending the deadline to June 11. This uncertainty leaves the future of the product uncertain for now. The proposed ETF aims to track the price of ether and would use Coinbase Custody Trust Company and the Bank of New York Mellon as custodians.
In March, the SEC also delayed its decision to approve the BlackRock spot Ethereum ETF. The SEC now has until May 23 to approve or reject VanEck’s ETF application for an Ethereum ETF. Bloomberg Intelligence analyst James Seyffart has expressed skepticism, suggesting that the current round of Ether ETF applications may ultimately be denied.
Tron CEO and founder Justin Sun believes it is unlikely that an Ethereum ETF will be approved in May, stating that the cryptocurrency needs “long-term education with regulators.”
The status of Ethereum as a security is currently in limbo, as it is not considered a security by the SEC. However, this could change in the future, as there have been reports of U.S.-based companies receiving subpoenas attempting to label ETH as a security. It is important to stay updated on regulatory developments in the cryptocurrency space.
On April 25, Ethereum developer firm Consensys, led by Joe Lubin, filed a lawsuit against the SEC over its “overzealous regulation” around the Ethereum blockchain. Consensys believes that the SEC’s approach is causing chaos to developers, market participants, institutions, and nations that rely on the Ethereum platform.