The financial asset manager, Wisdomtree, is now the second institution to file for an ethereum-based exchange-traded fund (ETF), following Vaneckâ€™s recent filing on May 7. The recently filed S-1 with the U.S. Securities and Exchange Commission (SEC) says the fundâ€™s â€œinvestment objective is to gain exposure to the price of ether.â€
Wisdomtree Follows Vaneckâ€™s Lead and Files for an Ethereum-Based ETF
On Thursday, Wisdomtree revealed it wants to list an ether-based ETF on Cboe BZX Exchange, according to the firmâ€™s latest S-1 filing. The SEC must approve the ETF and if the regulator does, investors can purchase Wisdomtreeâ€™s ether trust shares via regulated brokerage services.
The prospectus describes ether as â€œa digital asset that is not issued by any government, bank or central organization, and is the second-largest cryptocurrency by market capitalization behind bitcoin.â€ The WisdomTree Ethereum Trust is a Delaware statutory trust, invoked on March 8, 2021. The Wisdomtree ETH-based ETFâ€™s sole objective is to:
Ethereum Trust Will Follow Emerging Growth Company Reporting
In recent times, Wisdomtreeâ€™s bitcoin (BTC)-based exchange-traded fund was being reviewed by the U.S. financial regulator, and the company recently launched an ether-based exchange-traded product (ETP). Wisdomtreeâ€™s ethereum ETPs are listed on Deutsche Boerseâ€™s Xetra and Switzerlandâ€™s Swiss Stock Exchange (SIX).
Wisdomtreeâ€™s S-1 filed on Thursday says the ether trust will qualify as an â€œemerging growth company,â€ and leverage the JOBS Act reduced reporting requirements. For instance, the trust doesnâ€™t have to present an auditorâ€™s attestation report or comply with 2012â€™s Public Company Accounting Oversight Board guidelines, unless the SEC disapproves of these actions.
â€œThe Trust will cease to be an â€˜emerging growth companyâ€™ upon the earliest of it having $1.0 billion or more in annual revenues,â€ Wisdomtreeâ€™s ether ETF filing notes.
What do you think about Wisdomtreeâ€™s ether-ETF filing? Let us know what you think about this subject in the comments section below.
Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.