According to reports, they’ve filed a request with the U.S. Securities and Exchange Commission (SEC) to convert Ethereum Trust (ETHE) into an Ethereum exchange-traded fund (ETF). Word has it, that this move comes after their recent lawsuit against the SEC regarding the establishment of a Bitcoin ETF.

Launched in March 2019, The Ethereum Trust (ETHE) achieved a public listing in May of the same year and became an SEC reporting company in October 2020.

Currently, ETHE is the largest investment vehicle for Ethereum, managing assets worth nearly $5 billion, which is approximately 2.5% of the total circulating Ether. The product has garnered support from over a quarter of a million American investor accounts, with shares trading in millions of dollars in daily volume.

Grayscale’s filing for spot Ethereum ETF comes at an interesting time. It coincides with the day the first Ethereum Futures ETF will hit the market. Grayscale CEO Michael Sonnenshein commented on this development, stating that this is an important moment to bring Ethereum further into the U.S. regulatory perimeter.

Grayscale remains committed to overseeing each of its digital asset products through a structured four-phase lifecycle, ultimately culminating in the conversion to an exchange-traded fund (ETF). This filing is another important milestone as Grayscale continues to build its best-in-class ETF team, product suite, and capabilities.

It’s worth noting that Grayscale is not the first to file for a spot in Ethereum ETF. Last month, Ark Invest submitted a similar filing with the US SEC. The ETH price rallied to $1,750 amid excitement surrounding the futures ETF launch. However, it retraced partially and is currently trading around $1,731 levels.

This move by Grayscale could potentially influence the ETH price rally. If it breaks the resistance of $1,750, the next immediate target would be $1,800 and $2,000 further.

Source: Grayscale