Fidelity Pursues Ethereum ETF Despite Potential SEC Hurdles

Fidelity Investments has taken a bold step in the cryptocurrency market by submitting a Form S-1 for a proposed spot Ethereum exchange-traded fund (ETF) with staking capabilities, according to recent SEC filings.

This move underscores Fidelity’s commitment to expanding its presence in the burgeoning digital asset space.

Fidelity filed a Form S-1 for a proposed spot Ethereum ETF that includes a staking feature, according to SEC filings. Bloomberg analyst James Seyffart said that he still believes that this round of spot Ethereum ETF applications will ultimately be rejected in May.…

— Wu Blockchain (@WuBlockchain) March 27, 2024

However, Bloomberg analyst James Seyffart remains cautious, suggesting that the round of spot Ethereum ETF applications may face rejection when the SEC makes its decision in May.

Despite potential regulatory hurdles, BlackRock CEO Larry Fink remains optimistic about the prospect of introducing an Ethereum ETF. BlackRock, along with seven other issuers, has applied to the SEC for Ethereum spot ETFs.

BlackRock CEO Larry Fink said that even if the U.S. SEC designates Ethereum as a security, it is still possible to launch an Ethereum ETF, and it will continue to try to launch an Ethereum spot ETF. Currently, eight potential issuers, including BlackRock, have submitted Ethereum…

— Wu Blockchain (@WuBlockchain) March 27, 2024

In the midst of these developments, on-chain reports reveal significant activity from Whale 0xf2b, who recently liquidated their entire stash of 17,768 ETH for 62.24 million DAI at an average price of $3,503.

This move comes amidst market volatility, with the price of Ethereum experiencing a 4.28% decline in the past 12 hours, dipping from a high of $3,659.

Whale 0xf2b sold all 17,768 $ETH for 62.24M $DAI at ~$3,503 2 hours ago, after the market dipped again.

Notably, among those tokens, 14,277 $ETH was withdrawn from #Gemini and #Bittrex at only ~$679 (est. cost: $9.69M) from 2018 to 2021!

Massive profit and ROI of 400%+!

Follow… pic.twitter.com/tlFt6rXaSh

— Spot On Chain (@spotonchain) March 28, 2024

Notably, the whale’s Ethereum holdings include tokens acquired at an early and relatively low average price, with 14,277 ETH withdrawn from Gemini and Bittrex at an average cost of $679 between March 13, 2017, and April 2, 2021.

Additionally, 3,000 ETH was received from MakerDAO in what appears to be a loan, suggesting a bearish stance on Ethereum.

Despite the recent market downturn, the whale is poised to realize substantial profits, with an estimated return on investment (ROI) exceeding 400% from their Ethereum holdings.

As the cryptocurrency landscape continues to evolve, the pursuit of Ethereum ETFs by institutional players like Fidelity and BlackRock highlights the growing mainstream interest in digital assets and blockchain technology.

Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.

Follow us on Twitter @themerklehash to stay updated with the latest Crypto, NFT, AI, Cybersecurity, and Metaverse news!

Image Source: sinenkiy/123RF // Image Effects by Colorcinch

The post Fidelity Pursues Ethereum ETF Despite Potential SEC Hurdles appeared first on The Merkle News.