James Seyffart, analyst at Bloomberg gave a glimpse of when Spot ETF Ethereum could start negotiating if the Securities and Exchange Commission (SEC) had to approve these funds. Based on his remarks, launching these funds could take weeks or even months, even if approval came this week.
S-1 filings must be approved before trading can begin
Seyffart mentioned in an X (formerly Twitter) job that S-1 approvals are required before Spot Ethereum ETFs can go live and that it could take “weeks or even months” for that approval to arrive. He made the statement while clarifying that their 75% chance of approval was only for the deadline. for 19b-4 filings, with the final deadline for VanEck and Ark 21Shares being May 23 and 24, respectively.
Seyffart and his colleague Eric Balchunas Let’s predict that the SEC will likely at least approve VanEck’s application no later than May 23, as that is the final deadline for the Commission to rule on the matter. Previously, the SEC was supposed to deny these requests, mainly because it reportedly considered Ethereum to be a security.
However, Balchunas revealed in a message The SEC has already shown its willingness to approve these funds, having informed Nasdaq, Chicago Board Options Exchange (CBOE) and New York Stock Exchange (NYSE) are updating their documents.
The initiates also claims that the SEC’s returns on these exchanges are a positive signal and show that the regulator may be ready to approve these investment funds. Steven McClurg, head of US asset management for CoinShares, also said Reuters that it could take months for Ethereum ETFs to begin trading because, unlike exchange filings, there is no set deadline for the SEC to approve registration filings.
However, the SEC has shown that it can approve the 19b-4 and S-1 filings simultaneously, just as it did with the Spotting Bitcoin ETFs, which was immediately posted online thanks to this. The only difference between then and now is that the SEC constantly communicated with issuers weeks before Bitcoin ETFs were approved.
Fidelity and Grayscale Remove Ethereum Spot ETF Staking Plans
Asset managers loyalty And Shades of grey have deleted their staking plans in their S1 repositories updated. This was expected, given that the staking feature is a large part of why the SEC is rumor consider ETH as a security. However, the removal of this staking offer again suggests that the SEC will approve these funds as long as ETH staking is not included.
During this time, Seyffart noted in a Message that their chances of approval are still 75% since the removal of the staking plans was expected.
At the time of writing, Ethereum is trading around $3,700, up more than 3% in the last 24 hours, according to data from CoinMarketCap.
Featured image created with Dall.E, chart from Tradingview.com
