Ethereum
Major Spot Ethereum ETF Update Coming This Week: Details
Godfrey Benjamin
Most Wanted Ethereum ETF Update On Spot Could Come This Week
Read U.TODAY on
Google News
Although the United States Securities and Exchange Commission (SEC) has approved an Ethereum spot ETF, the cryptocurrency world is still waiting for S-1 approval to pave the way for trading the asset. According to a source in communication with the SEC, certain comments are now expected this week. Nate Geraci, analyst, in an article on X said that at least one of the many potential issuers who have filed an application will receive comments from the regulator this week.
Spot ETH ETF regulatory delays and issuer expectations
Notably, since the May 31 deadline has passed to submit the first draft of S-1 registrations, Ethereum Spot ETF Issuers expected the regulator to provide an update on the status of their application. To date, nothing specific has come from the commission led by Gary Gensler.
Interestingly, issuers were optimistic that the SEC would provide comments on the drafts beginning June 7. However, two of the issuers categorically stated that nothing had been communicated to them by the SEC. The only communication from the president of the SEC Gary Gensler during a recent appearance on CNBC was ambiguous.
The SEC’s back-and-forth before granting 19b-4 approval led some issuers to drop out of the race. Among those who withdrew, we can cite that of Cathie Wood. Ark Invest. The asset management company, despite filing documents with the SEC in partnership with 21Shares to become an Ethereum ETF issuer, subsequently withdrew.
Ark Invest, in an official statement, noted that it continues to believe in the “transformational potential and long-term value” of Ethereum. However, Ark will no longer pursue an Ether ETF product.
Stakeholder Concerns About Ethereum Spot ETF
While issuers expect clear communication from the regulator, some stakeholders have doubts about the potential of the Ethereum ETF spot product. Global banking firm JPMorgan believes these products could attract a much smaller share of cash flow than expected.
Analysts are, however, optimistic and believe that if the SEC gives the green light, the product is likely to perform well in the crypto space.
About the Author
Godfrey Benjamin
Godfrey Benjamin is an experienced crypto journalist whose main goal is to educate everyone around him about the prospects of Web 3.0. His love for crypto was born when, as a former banker, he discovered the clear advantages of decentralized money over traditional payments. With his extensive experience covering various aspects of Web3, Godfrey’s articles have been featured on Blockchain.news, Cryptonews, and Coingape, among others.