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ETFs holding ether (ETH-USD) began their first day of trading on Tuesday, after receiving final regulatory approval a day earlier.

However, despite the debut, ether prices fell 1.5% in afternoon trading.

Yahoo Finance’s Jennifer Schonberger and David Hollerith report:

The Securities and Exchange Commission on Monday gave the green light to BlackRock (BLK), Fidelity, Franklin Templeton, Grayscale and 21 Shares, the companies announced.

The moves could make ether, the world’s second-largest cryptocurrency, a potential primary means of payment for 401(k)s, IRAs and retirement plans, and give the digital asset greater acceptance.

“This is an example of Fidelity’s rich history and commitment to meeting the evolving needs of our clients,” Cynthia Lo Bessette, head of digital asset management at Fidelity, said in a press release.

The approvals come about six months after the Securities and Exchange Commission (SEC) allowed many of the same fund managers to launch ETFs that invest in bitcoin (BTC), the world’s largest cryptocurrency.

The latest development is the latest example of the cryptocurrency industry’s success in Washington, D.C., seeking friendlier regulations and greater freedom to introduce new products.

This comes just days before Republican presidential candidate Donald Trump is set to endorse the idea during a speech ahead of the Bitcoin 2024 conference this weekend in Nashville.

Republican Party presidential candidate and former U.S. President Donald Trump wears a skin-colored bandage on his ear during his first campaign rally with his running mate, Republican Party vice presidential candidate, U.S. Senator J.D. Vance (R-OH) in Grand Rapids, Michigan, U.S., July 20, 2024. REUTERS/Tom Brenner — Republican presidential candidate and former President Donald Trump holds a campaign rally in Grand Rapids, Michigan, July 20, 2024. (REUTERS/Tom Brenner) (REUTERS)

Trump and many members of his party have embraced digital assets as a way to counter the Biden administration, which has spearheaded a crackdown on many of the industry’s major players following the 2022 market crash.

The Republican Party said in its 16-page party platform last week that “Republicans will end Democrats’ lawless and un-American crackdown on cryptocurrency.”

Trump, who has called bitcoin a “fraud” in the past, called cryptocurrencies “amazing” in an interview with Bloomberg published last week.

The price of bitcoin has risen more than 6% over the past month to around $68,000, bringing it close to the record high reached earlier this year.

Ether is down 0.5% over the past five days. It has been on a downward trend in recent months and is still far from its all-time high reached in November 2021.