The agency has given the public a three-week period to comment on the matter. This approach has raised concerns about regulatory obstacles related to Ethereum financial products. The U.S Securities and Exchange Commission (SEC) has opened several potential spot Ethereum ETF applications for public comments. The focus is primarily on exchange-traded funds (ETFs), specifically the Grayscale Ethereum Trust, Bitwise Ethereum Fund, and Fidelity Ethereum Fund.
Additionally, the SEC has acknowledged the Bitwise submission and announced that it will seek feedback on the proposed rule change. The agency has given the public three weeks to provide comments. This step demonstrates the SEC’s interest in continuing to scrutinize these innovative financial products.
Furthermore, as the crypto community’s optimism for the approval of spot Ethereum ETFs diminishes, a request for public input has been issued. The SEC has yet to make a decision on the seven pending applications, including those from Fidelity and BlackRock, among others.
After the Ethereum Dencun upgrade, which aimed to reduce transaction fees, went live on March 13th, the market responded negatively, causing Ether’s value to drop by nearly 12%. Similar to the increased demand from institutions following the launch of U.S. spot Bitcoin ETFs, the approval of spot Ethereum ETFs is expected to have a significant impact.
However, the overlooking of the evaluation process and the SEC’s decision to postpone a judgment on BlackRock’s and Fidelity’s petitions have gone unnoticed. This approach raises regulatory hurdles related to Ethereum financial products, which differs from the process for spot Bitcoin ETFs.
Moreover, Bloomberg’s ETF analyst, Eric Balchunas, has revised his May prediction from a 70% likelihood to a 30% likelihood of approving a spot Ethereum ETF.
Today’s highlighted crypto news:
ARK Invest CEO Cathie Wood supports Bitcoin amid currency devaluations.
