Franklin Templeton offers a fee of 0.19% in the revised Spot Ethereum ETF S-1
Franklin Templeton's S-1 filings for Space Ethereum ETF were revised to a 0.19% fee. The SEC requires all Ethereum ETF issuers to file amended S-1 forms by Friday. Franklin Templeton's Spot Bitcoin ETF also charges a fee of 0.19% and currently manages $350M in assets.
Franklin Templeton Files Amended S-1 Form for Spot Ethereum ETF Pursuant to SEC guidance, all Spot Ethereum ETF issuers must file their amended S-1 forms by Friday.
In its revised S-1, Franklin Templeton plans to charge a competitive 0.19% sponsor fee for the ETF, which may be the lowest among its peers.
Franklin Templeton's success with crypto ETFs
Franklin Templeton was one of eleven firms approved by the SEC for Bitcoin ETFs at the beginning of the year.
The company's foray into the Ethereum ETF space is fueled by the success of its Bitcoin ETF, which currently manages roughly $350 million in assets. This Bitcoin ETF's strong performance highlights the company's prowess in managing cryptocurrency investment products and sets a good example for the upcoming Ethereum ETF.
Its Spot Ether ETF app places it among a growing number of financial institutions seeking exposure to Ethereum without having to directly purchase the digital asset.
Franklin Templeton's aggressive crypto ETFs fee structure
Franklin Templeton's proposed fee of 0.19% reflects the fee structure of its Bitcoin ETF (EZBC), which is set at 0.19%, which is the lowest among similar financial products currently available.
Initially, Franklin Templeton did not charge any fees to invest in the Bitcoin ETF, a strategy that may have been designed to attract early investors and build momentum.
Eric Balchunas, senior ETF analyst at Bloomberg, commented on Franklin Templeton's aggressive fee structure in a post on X, “Opening shot in Eth ETF fee war fired from Franklin, 19bps.”
Balchunas's comment highlights the competitiveness of the Ethereum ETF market, where cost efficiency is a key factor in attracting investors.
As companies rush to beat Friday's deadline, the stage is set for Ethereum-based financial products to enter the market.
Although it may take a few weeks for these filings to become effective, ETFs can be expected to begin trading within a month, if not a few weeks.
