America's largest cryptocurrency exchange met with the Securities and Exchange Commission last week over Grayscale's proposed spot Ethereum (ETH) exchange-traded fund.
Publicly-listed Coinbase provided taped documents from the regulator's show on Wednesday as it spoke to a top Wall Street regulator about Grayscale's planned product.
In October, crypto fund manager Grayscale filed an application with the SEC to convert its Grayscale Ethereum Trust (ETHE) into a Spot ETH ETF. The proposed ETF gives investors direct exposure to the second largest cryptocurrency; Traded on a stock exchange – allows investors to buy stocks that track the value of ETH.
Coinbase's presentation crypto exchange talked about potential market manipulation and how the exchange “has a comprehensive monitoring-sharing agreement with the Chicago Mercantile Exchange to help monitor fraud and fraud.”
“The ETH spot markets are highly indicative of market conditions that allow fraud and fraud to be dealt with,” the presentation said.
In January, the SEC gave the green light to 11 spot Bitcoin (BTC) ETFs to begin trading. After a decade of decline, the investment vehicles are now traded on stock exchanges, and have been highly successful with high returns.
Grayscale was an accredited fund manager; It turned the popular Bitcoin Trust into a spot Bitcoin ETF.
Now, along with other prominent financial institutions, it is trying to get permission from the regulator to do the same with ETH, the second largest digital coin by market capitalization.
British multinational bank Standard Chartered said in a report last month that ETH ETFs are expected to receive approval from the SEC in May – and as a result, asset prices may increase.
On Friday, ETH reached $4,000 per coin for the first time since 2021 The price of ETH It stands at just under $3,948, according to CoinGecko.
Edited by Ryan Ozawa.
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