Grayscale is doing more to fulfill its promise to the neighbourhood to create a transparent ecology. It is collaborating with NYSE Arca to do this. Both parties have submitted a request for the conversion of Grayscale Ethereum Trust (OTCQX: ETHE) into a spot Ethereum ETF to the SEC, the US Securities and Exchange Commission. The SEC will now evaluate Form 19b-4 for approval.
According to Grayscale, this action signifies their dedication to turning the cryptocurrency investment portfolio into an ETF. It has described this as a significant accomplishment and the logical next step in the development of the product line-up. The change comes after the SEC approved the Ethereum futures ETF for the first time.
Grayscale’s CEO, Michael Sonnenshein, stated that the company’s constant goal has been to providing investors with regulated and transparent access, and that making the conversion to an ETF was solely a neutral move. According to Michael, it also signifies the acceptance of the time when Ethereum must penetrate the outer limits of US regulation.
Grayscale’s global head of ETFs, David LaValle, has contributed to similar thoughts by stating that the submission of Form 19b-4 is a significant step in the company’s development of its best-in-class product lineup, ETF team, and investor-serving capabilities.
In March 2019, the Ethereum Fund was introduced. In October 2020, it became a public company subject to SEC reporting. Currently, the fund’s holdings, valued at $5 billion, account for 2.5% of all Ether in use.
Despite this, ETH has increased by 0.24% over the past 24 hours. It currently has a $1,666.56 market value. This is an increase of 1.86% over the previous month or 30 days. The biggest asset manager in the world is acknowledged to be Grayscale. Millions of dollars are traded every day, and more than 250,000 American investors support the flow.
The likelihood that this breakthrough will lead to a sharp increase in the price of ETH is uncertain. It has done the job thus far, and it’s possible that the price will increase further during the next few hours. According to predictions, the price may surpass the $1,700 barrier or perhaps approach the $1,750 resistance level. This will establish a minimum mark of $1,800 and a following aim of $2,000 as a result.
A status update on the Form 19b-4 submission by NYSE Arca and Grayscale to the SEC for review and acceptance is awaited.