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Grayscale Investments took another key step Tuesday in its bid to transform its Ethereum trust fund (ETH-USD) into a spot Ethereum exchange-traded fund, while also announcing plans to launch a lower-fee alternative.
The world’s largest crypto asset manager has filed an S-3 filing with the U.S. Securities and Exchange Commission (SEC) to list shares of Grayscale Ethereum Trust under the symbol “ETHE.”
“Earlier this year, NYSE Arca filed Form 19b-4 for Grayscale Ethereum Trust, setting the stage for a new phase in the ETHE product lifecycle. We are proud to be working to bring the 2nd largest crypto asset large by market cap even further into the market.” regulatory perimeter of the United States,” Grayscale said on X (formerly Twitter).
“Importantly, no action is required from current shareholders of Grayscale Ethereum Trust,” the crypto asset manager added.
Grayscale also said it has filed paperwork with the SEC to register shares of a new Ethereum (ETH-USD) spot exchange-traded fund (ETF) called “Grayscale Ethereum Mini Trust” under the proposed ticker “ETH.”
The new trust would be created through a spin-off and distribution from Grayscale Ethereum Trust.
“We believe that the approval of the Grayscale Ethereum Mini Trust would be a distinct benefit to existing ETHE shareholders who wish to maintain the same exposure to Ethereum (ETH-USD) with the added benefit of a lower average fee on both products, ” Craig Salm, Grayscale’s chief legal officer, said in a statement.
“We know that investors are not a monolith – investors have different needs based on their specific investment strategies. That’s why Grayscale has filed a registration statement for Grayscale Ethereum Mini Trust with the SEC,” Salm said.
“Subject to necessary regulatory approvals, it would be launched as a lower fee alternative Ethereum spot ETF and is designed for investors interested in optimizing their Ethereum ETF investment for a ‘buy and hold’ investment strategy in their brokerage account or retirement, for example,” Salmo added.