The Chairman of the Securities and Exchange Commission, Gary Gensler, has implied that the Spot ETF S-1 is likely to be approved by the end of summer. Gensler made this known in a budget hearing while addressing Senators earlier today. This information has sparked discussion across the crypto community as a fulfillment of this could mark a major shift in the market.
The update comes amid ongoing speculations about the specific date for S-1 to launch trading. Besides the approval, Gensler also talked about the effect of DeFi on anti-money laundering laws (AML) in the country. Meanwhile, perspective Ethereum ETF issuers have been patiently waiting for the decision from the regulatory watchdog, however, it seems the wait will soon be over according to a recent report.
Gensler Hints at Summer Ending
In an exciting development, Fox reporter Eleanor Terrett informed the public via a post on X (formerly Twitter) that the SEC might be approving Ether Spot ETF S-1 this summer, likely between June and September ending. If this holds, the launch will be just in time for the presidential elections slated to happen on November 5.
According to the post, Gensler had informed Senator Bill Hagerty, a member of the Senate Banking Committee, that the approval process for the ETF’s S-1 filing could be completed at the aforementioned time.
NEW: @SECGov Chairman @GaryGensler just told Senator @BillHagertyTN he envisions $ETH Spot ETF S-1’s will likely be approved by the *end of the summer.*
— Eleanor Terrett (@EleanorTerrett) June 13, 2024
Consequently, a spot Ethereum ETF can now go live in the US with the regulatory approval of the individual issuers’ applications remaining to be completed. Notably, this follows the agency’s approval of stock exchanges’ 19b-4 petitions to list the product in late May. Earlier this month, the chairman clarified that the responsiveness of individual issuers to received comments will determine the period of listing and not the Commission.
Similar to the earlier approval of Bitcoin spot ETFs, the new ETH ETFs can be listed once those filings are accepted, opening up new markets to easily traded funds that own actual Ethereum. Recall that the SEC had previously refused a spot Bitcoin ETF but later changed their stance after a federal court ruled that the Commission wasn’t handling the matter properly.
Investors are closely watching the price trajectory of ETH, as the Spot ETF S-1 approval could shoot its value to new highs. Previously, the price of ETH surged impressively over 20% following the approval of the 19b-4 filings to trade above $3,700.
At the time of writing, Ethereum (ETH) is changing hands at $3,469, representing a 4.05% decrease in the last 24 hours.
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