Blockchain giant Grayscale recently submitted an application to the U.S. Securities and Exchange Commission (SEC) to register a new Ethereum exchange-traded fund (ETF) - Grayscale Ethereum Mini Trust (proposed code: ETH). The creation of this fund is a bit special, and it is achieved by splitting and allocating assets from the Grayscale Ethereum Trust (OTCQX: ETHE).

Craig Salm, Grayscale's chief legal officer, said that if approved by regulators, the new Grayscale Ethereum Mini Trust will be launched as a low-fee spot Ethereum ETF. At the same time, part of ETHE's Ethereum will be used to "seed" the new fund, and ETHE shareholders will receive shares of the new ETF in proportion. This split is not expected to generate taxable events for ETHE and its shareholders. That's good news, isn't it? 😉