According to TechFlow, according to Jinshi Data, Gary Gensler, chairman of the U.S. Securities and Exchange Commission (SEC), said on Wednesday that when the spot ETF linked to Ethereum will begin trading depends on how quickly the issuer responds to SEC inquiries.
Before an ETF can begin trading, the SEC must approve the ETF issuer's registration statement detailing disclosures to investors. This typically involves a lot of correspondence.
Gensler said registrants will proactively respond to comments, but the speed and quality of their responses is up to them. He declined to say whether the process would take weeks or months.
Gensler noted that the Ethereum futures ETF has been trading since last year with a similar correlation to Bitcoin.
The SEC approved a spot Bitcoin ETF in January after a court ruled in Grayscale’s favor last year. Gensler called it the “most sustainable path forward,” but he still believes the cryptocurrency space is rife with fraud and scams.
