Several applicants for spot Ethereum (ETH) ETFs have recently submitted S-1 amendments to the SEC, outlining sponsor fees and waiver details in preparation for a potential trading launch next week. In the latest filings, most issuers have specified fees and sponsor fee waiver terms.
BlackRock has set a 0.25% sponsor fee, with a reduced fee of 0.12% for the first 12 months or up to the initial $2.5 billion. Similarly, Fidelity has established a 0.25% fee but will waive the entire sponsor’s fee until December 31 without any additional conditions.
21Shares and Bitwise have introduced a 0.21% and 0.2% fee, respectively, with complete waivers for the first six months or up to the initial $500 million. Grayscale’s main spot Ethereum ETF now includes a 2.5% fee, while its mini ETH trust incurs a 0.25% fee with a 12-month waiver for assets up to $2.0 billion.
Franklin Templeton has maintained its 0.19% fee and will waive it for the first $10 billion in assets, with the waiver period extending until January 31, 2025. VanEck has also retained its 0.20% fee, with a 12-month fee waiver from launch or up to the initial $1.5 billion.
Meanwhile, Invesco Galaxy has confirmed a 0.25% fee, with a starting fee of 0.25%. ProShares, however, has not provided fee or waiver information in its submission.
Bloomberg ETF analyst Eric Balchunas has raised questions about the ability of each fund to attract significant inflows compared to funds from Grayscale’s converted ETF. The recent fee disclosures mark progress towards final approval.
The SEC granted approval for proposed rule changes for spot ETH ETFs on May 23, allowing exchanges to list and trade the funds. However, asset managers still require the final green light to issue them. Industry experts anticipate the funds will receive final approval next week, with trading expected to commence on July 23.
