Bloomberg Experts Forecast Timeline For Spot Ethereum ETF Approval
December 06 2023 - 3:35AM
NEWSBTC
The journey towards the approval of an Ethereum ETF in the United
States has seen a new development yesterday as the US Securities
and Exchange Commission (SEC) has announced a delay in the decision
for Grayscale’s Ethereum trust conversion into a spot Exchange
Traded Fund (ETF). The SEC has stated the need for an extended
period to evaluate the proposed rule change, pushing the new
deadline Grayscale to January 25, 2024. In its reasoning, the SEC
has reiterated, “The commission finds it appropriate to designate a
longer period within which to take action on the proposed rule
change so that it has sufficient time to consider the proposed rule
change and the issues raised therein.” Notably, the delay comes at
a time where the US agency is working with now 13 spot Bitcoin ETF
applicants on presumably the final amendments before a January 10
approval. Timeline For A Spot Ethereum ETF Approval Despite the
latest delay, the crypto community remains optimistic about the
future of spot Ethereum ETFs. Bloomberg ETF analyst James Seyffart
has suggested that delays are par for the course, tweeting,
“Update: As expected Grayscale’s Ethereum trust filing just got
delayed. It was due by 12/6/23 so this is completely normal.”
Seyffart also shared a table of all seven spot Ethereum ETF
applicants: VanEck, 21Shares & ARK, Hashdex, Grayscale, Invesco
& Galaxy, BlackRock, Fidelity and their deadlines. He further
hinted at potential approvals by mid-2024, responding to criticisms
from Adam Back, CEO of Blockstream, with “Unfortunately I think
you’re gonna be really upset by June of next year.” In response to
queries about the probability of an Ethereum ETF approval following
a Bitcoin ETF, Eric Balchunas of Bloomberg has indicated that the
first filers, Ark and VanEck, have strong odds of approval by their
final deadline on May 23, 2024, as they are expected to use the
same mechanics as spot Bitcoin ETFs, and due to the fact that Ether
futures have already received the green light from the US SEC.
Related Reading: Ethereum At $2,200 Is “Hilarious”; Is A 10X
Incoming? Queried about for the odd of a spot Ethereum ETF
approval, he remarked, “Not formally yet, but final deadline for
the first filers Ark and VanEck is May 23rd so strong odds they
approved by then given they’d be using same design as btc etfs and
ether futures were Ok’d.” The Next Deadlines The table by Seyffart
shows that the next Ethereum ETF deadlines are from December 23 to
26 for VanEck, Ark Invest and Invesco & Galaxy, followed by
Hashdex on January 1. Since a spot Bitcoin ETF is very unlikely to
be approved by then, delays by the SEC are more than likely for
this batch of filings. Related Reading: Crypto Analyst Says It’s
“Not Too Late” To Buy Ethereum, Here’s Why Both iShares by
BlackRock and the Fidelity Ethereum Fund have their next deadlines
on January 25 and January 21, 2024 respectively. These dates are
crucial as they could involve either an extension, a request for
more information, or a final decision. But things only get really
tense towards the final deadlines for all Ethereum ETF filers, as
outlined by both Bloomberg ETF experts. With VanEck poised for May
23, 2024, and ARK Invest for May 24, 2024 and other notable filers
like Hashdex Nasdaq Ethereum ETF and Grayscale’s Ethereum Trust
Conversion (ETHE) scheduled for decisions by May 30, 2024, and June
18, 2024, respectively, the timeline for potential approvals is
taking shape. At press time, ETH traded at $2,271. Featured image
from Shutterstock, chart from TradingView.com
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