Ethereum
Another Ethereum ETF Decision Delayed by SEC
Alex Dovbnya
SEC Widely Expected to Delay Ethereum Spot ETFs
Read U.TODAY on
Google News
The United States Securities and Exchange Commission has moved to delay its decision on Invesco’s Galaxy spot Ethereum ETF proposal, according to a recent filing.
The regulator extended the deadline for approving or disapproving the ETF proposal in question by another 60 days.
Last month, the SEC also issued its ruling on spot Ethereum ETF proposals from Franklin Templeton and Grayscale.
According to a recent Reuters report, which cites industry insiders, the SEC is expected to reject Ethereum ETFs proposed by VanEck and ARK later this month.
Industry experts predicted that the SEC would reject these ETFs due to lack of engagement, which was not the case going into Bitcoin ETF Approved.
Spot Ethereum ETFs are likely to be rejected for a mechanical reason, according to industry analysts. Matt Hougan of Bitwise predicted that the SEC would say it wants to see more data.
It is worth noting that the SEC is currently in the middle of a legal battle with Consensys, the main backer of Ethereum. In April, Consensys sued the regulator over its decision to “wrongly” label the leading altcoin as a security.
However, BlackRock CEO Larry Fink said it was still possible to launch a spot Ethereum ETF even if the underlying cryptocurrency were to be classified as an unregistered security.
It took more than a decade for the SEC to finally approve spot Bitcoin ETFs earlier this year. The ETFs ended up being a big success, but it seems the regulator is not ready to approve Ethereum ETFs.
About the Author
Alex Dovbnya
Alex Dovbnya (aka AlexMorris) is a cryptocurrency expert, trader and journalist with extensive experience covering everything related to this booming industry, from price analysis to blockchain disruption. Alex has authored over 1,000 articles for U.Today, CryptoComes and other fintech media. He is particularly interested in regulatory trends across the world that are shaping the future of digital assets. He can be contacted at alex.dovbnya@u.today.