Digital asset investment firm Kryptoin has filed a new application with the United States Securities & Exchange Commission (SEC) for ether (ETH) exchange-traded-fund (ETF).
The Delaware-based Kryptoin said in its proposal that the Kryptoin Ethereum ETF Trust’s “investment objective” would be “to provide exposure to Ethereum at a price that is reflective of the actual Ethereum market where investors can purchase and sell Ethereum less the expenses of the Trust’s operations.”
As per the filing: “In seeking to achieve its investment objective, the Trust will hold Ethereum, and in seeking to ensure that the price of the Trust’s share is reflective of the actual ETH market, the trust will value its shares daily as determined by the CF Ether-Dollar US settlement Price, which is an independently calculated value based on an aggregation of executed trade flow of major ETH spot exchanges.”
The ETF will not invest directly in ETH. When it sells or redeems its shares, it will do so in “in-kind transaction” in blocks of 100,000 shares at Trust’s net asset value (NAV). If approved, Kryptoin’s Ethereum ETF would be listed on the Chicago Board Options Exchange (Cboe) BZX Exchange, Inc.
The crypto investment firm previously applied for a Bitcoin ETF in 2019 that failed. The firm filed for another ETF earlier in this year and is currently under review by the securities regulator. Moreover, the SEC has not approved Bitcoin ETF in the U.S., even though significant names like VanEck and Fidelity have filed.
