Breaking: 21Shares Reveals Spot Ethereum ETF Fee In Updated S-1 Filing

21Shares filed an amended S-1 form for its Spot Ethereum ETF (CETH) on Wednesday, July 17. It discloses key details about the Trust’s operations and fees. The filing revealed the sponsor fee to be charged once the ETF starts trading. In addition, details on a 6-month fee waiver were included.

21Shares Submits Updated S-1 For Spot Ethereum ETF

According to the SEC filing, 21Shares Core Ethereum Trust (CETH), will pay a unitary sponsor fee equivalent to 0.21% of its Ethereum (ETH) holdings. The competitive fee is in line with market expectations. Previously, VanEck’s 0.20% fee sparked speculations of lower fees by other issuers.

Interestingly, 21Shares has proposed to waive the entire sponsor fee. This waiver will stand for a six-month period after the listing of their Ethereum ETF. However, the fee waiver can also be removed when the Trust’s assets reach $500 million, whichever milestone is achieved earlier. This waiver strategy aims to attract investors by reducing operational costs during the Trust’s initial growth phase.

Earlier, Bitwise offered a similar fee waiver, however, the firm is yet to announce the sponsor fee details. In addition, Invesco Galaxy also disclosed 0.25% fee in a July 9 filing. Hence, the latest revelation by 21Shares places it second in the list of competitive fee for Spot Ethereum ETFs.

Moreover, the amended S-1 filing underscores 21Shares’ proactive approach in structuring its ETF to appeal to potential investors in the crypto market. Also, the latest development is in line with the potential Ether ETF launch date set for July 23.

Earlier, Bloomberg reported that July 17 will see the final round of S-1 amendments with fee details. Hence, the 21Shares’ filing proves that right. Moreover, Senior Bloomberg ETF analyst, Eric Balchunas, believes that the launch should take place next Tuesday if there aren’t any last minute mishaps.

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What’s Next In Line?

Moreover, reports indicate that the SEC has preliminarily approved at least four issuers. This sets the stage for imminent developments pending final procedural checks. Key stages leading up to this include the SEC’s request for updates on critical 19b-4 forms. Thereafter, the historic May 23 approval of the 19-b4 filings for the eight applicants, including BlackRock, VanEck, 21Shares, Grayscale, and others.

As 21Shares was the first one to file an updated S-1 for its Ethereum ETF application for the last round of amendments, other issuers were expected to follow suit. Hence, the other seven issuers also filed the amended S-1 forms. BlackRock revealed a fee of 0.25% while Franklin Templeton announced the lowest fee of 0.19%. However, Grayscale doubled down on charging the highest fee of 2.50% despite the Bitcoin ETF fiasco.

Furthermore, the much-awaited Spot Ethereum ETF launch comes amid significant crypto events such as The Bitcoin Conference in Nashville, slated for Tuesday, July 23. Moreover, speculations swirl around heightened market attention towards these ETFs products as Donald Trump will attend the conference. Hence, the timeline makes sense as it will lead to a major hype around the launch as well as the conference.

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