GET 10% OFF ON YOUR FIRST ORDER. FOR A LIMITED TIME ONLY. Use code: WELCOME on checkout

Ethereum Spot ETF: Franklin Templeton Launches Fee War With 0.19% Offer

Following the abrupt approval of the Ethereum Spot ETFs by the US Securities and Exchange Commission (SEC), several prospective issuers have now filed amended versions of their S-1 forms. This development follows an initial directive from the commission that necessitated all asset managers vying to launch an Ether Spot ETF  to submit their draft S-1 filings on Friday.

Franklin Templeton Opens Floor With 0.19% Sponsor Fee

Among the many S-1 amendments received by the SEC on Friday, Top asset management firm Franklin Templeton caught many spectators’ attention after becoming the first potential issuer of the Ethereum Spot ETF to reveal a sponsor fee.

 The New York-based investment firm aims to charge a 0.19% fee on its Ether spot ETF if approved. Therefore, for every $1,000 invested in this fund, investors would need to pay $1.90 directed at covering the management and operational expenses with the ETF.

In any ETF market, sponsor fees are important factors that serve as incentives in attracting investments. With Franklin Templeton being the first issuer to reveal its sponsor fee, it may serve as a precedent as other asset managers may set figures around this value in a bid to entice investors. 

Notably, Franklin Templeton also offers the same sponsor fee for its Bitcoin spot ETF which ranks as one of the lowest fees in the specific ETF market. Alongside them, other issuers including VanEcK, Invesco Galaxy, Grayscale, BlackRock, and 21Shares have also turned in their amended S-1 forms to the SEC.

While the 19b-4 forms of these ETF applications were approved on May 23, the processing of the S-1 forms remains critical for any form of trading to commence. Notably, this process may be lengthy as the submitted S-1 forms are subject to comments from the Commission, which will likely necessitate further amendments.

JPMorgan Predicts Lower Demand For Ethereum Spot ETFs

In other news, prominent investment bank JPMorgan has projected the Ethereum spot ETFs to perform far less than their Bitcoin counterparts. According to multiple reports, JPMorgan analysts predict these ETFs can only attract investments of about $3 billion in 2024, which could rise to $6 billion if staking is introduced. 

For context, the Bitcoin spot ETFs launched in January are currently valued at $13.69 billion according to data from SoSoValue. In a recent interview, Bloomberg analyst James Seyffart shared similar sentiments with JPMorgan, highlighting the massive difference in the market cap of Ethereum and Bitcoin.

At the time of writing, Ethereum trades at $3.777 with a slight gain of 0.45% in the last 24 hours. In tandem, the asset’s daily trading volume is up by 4.80% and valued at $15.40 billion.

Ethereum

Featured image created with DALL·E, chart from Tradingview

Latest Press

post-thumbnail
News
2 hours ago
Teleport vs. Uber: How Solana’s New App Saves Drivers Money
Teleport, a new decentralized ride-sharing app on Solana, offers lower fees and higher earnings for ...
READ MORE
post-thumbnail
News
2 hours ago
Argentina’s President Javier Milei Champions Monetary Freedom with Emphasis on Bitcoin
Milei supports using diverse units like Bitcoin, WTI oil, and BTU for business, reflecting his liber...
READ MORE
post-thumbnail
News
2 hours ago
Crypto Exchange Kraken Loses $3 Million to Exploited Security Flaw
The post Crypto Exchange Kraken Loses $3 Million to Exploited Security Flaw appeared first on Coinpe...
READ MORE
post-thumbnail
News
2 hours ago
MAGA and TURBO Meme Coins Tease Massive Breakout Moves
The post MAGA and TURBO Meme Coins Tease Massive Breakout Moves appeared first on Coinpedia Fintech ...
READ MORE
post-thumbnail
News
2 hours ago
After 20% Rise, AI Tokens, Fetch.ai (FET), & SingularityNET (AGIX) Eye on Another 25% Jump!
The post After 20% Rise, AI Tokens, Fetch.ai (FET), & SingularityNET (AGIX) Eye on Another 25% J...
READ MORE
post-thumbnail
News
2 hours ago
Altcoin Season Index at 18: Major Coins Face Challenges as Bitcoin Season Emerges
The post Altcoin Season Index at 18: Major Coins Face Challenges as Bitcoin Season Emerges appeared ...
READ MORE
post-thumbnail
News
2 hours ago
Here’s a List of Discounted Altcoins With Massive Potential
The post Here’s a List of Discounted Altcoins With Massive Potential appeared first on Coinpedia F...
READ MORE
default post thumbnail
News
2 hours ago
SEC Drama Fuels XRP Rally: Open Interest Skyrockets
The cryptocurrency XRP is making waves as open interest (OI) for the token experiences a dramatic ri...
READ MORE
default post thumbnail
News
2 hours ago
IntoTheBlock Reveals Fact About Current Bitcoin Situation Analysts Are Puzzled By
The market intelligence platform IntoTheBlock has discussed the bearish situation Bitcoin has been f...
READ MORE
default post thumbnail
News
2 hours ago
XRP Price Stuck In Tiny Trading Range: Consolidation Phase Continues
XRP price is struggling to start a steady increase above $0.50. The price must settle above $0.50 an...
READ MORE

Publish an article now

Unlock the power of media for instant visibility to the target audience, major SEO boost, greater website traffic and conversion rates.

click here to get started