According to the statement, the SEC will not delay the process as some had anticipated. Issuers must receive the necessary clearances for their S-1 filings before they can start trading.
SEC Chair Gary Gensler stated that the speed of issuers’ responses to SEC comments will determine the approval of spot Ethereum exchange-traded funds (ETFs) in the United States. It appears that the responsibility for approvals lies with the issuers of Ether ETFs, and the SEC will not prolong the process as expected.
All attention is on the SEC, as eight 19b-4 applications to offer spot Ether ETFs on various U.S. exchanges were accepted on May 23. However, trading cannot commence until the necessary clearances for their S-1 registration statements are obtained. Gensler mentioned that the responsiveness of these registrants is ultimately their responsibility, as reported by Reuters on June 6.
In a previous CNBC interview, Gensler had mentioned that the next steps would “take some time,” but his recent comments provide additional context. Some interpreted this as a sign that the SEC might be slow in approving the S-1 forms.
Just before the initial decision deadline, the SEC appeared to change its position on spot Ether ETFs without explanation. In January, the SEC approved Bitcoin futures ETFs, with Grayscale playing a significant role in getting spot Bitcoin ETFs approved by arguing successfully in court.
Gensler also noted to Reuters that the situation with Ethereum was similar, stating that the SEC team had analyzed the Ether filings and correlations, which were relatively similar to those in the Bitcoin space.
