Prospective Ethereum ETF Issuers Await SEC Feedback
The crypto market is buzzing with anticipation as prospective spot Ethereum ETF issuers await the SEC’s comments on their S-1 filings, submitted on May 31. However, their wait might soon end. Reports suggest that SEC Chair Gary Gensler confirmed a potential approval of the S-1 filings for spot Ethereum by the end of summer, likely between June and August.
SEC Chair Teases S-1 Approval Timeline
In a recent update, SEC Chair Gary Gensler hinted at a potential timeline for approving the spot Ethereum ETF. According to Fox reporter Eleanor Terrett, Gensler conveyed to Senator Bill Hagerty his expectation that the approval process for the ETF’s S-1 filing could conclude by the end of this summer. The SEC’s recent approval of 19b-4 forms for various Ethereum ETF issuers, such as VanEck and BlackRock, indicates a surge in crypto adoption. However, the S-1 forms, necessitating comprehensive ETF details, are still pending approval.
Issuers Anticipate Summer Feedback
Anticipating feedback from the SEC, issuers previously expected comments on their drafts by June 7, as per insights from a source familiar with agency discussions. However, the issuers are still awaiting feedback, with expectations now set for the summer's end. According to SEC Chair Gary Gensler’s statement on CNBC, approvals for the S-1 forms would require a considerable duration. However, it is expected that a final approval might come between June and August.
Two-Step Process for ETF Approval
The S-1 forms represent the second phase in the two-step process to enable the spot Ethereum ETFs for trading. The initial step involved the approval of the 19b-4 forms, which occurred on May 23rd. The preliminary filings disclose some key details: BlackRock is initiating its ETF with a $10 million seed, while Franklin Templeton seeks to begin trading with a 0.19% fee.
Crypto Market Awaits SEC's Decision
As the crypto market awaits the SEC's decision, the potential approval of spot Ethereum ETFs is seen as a significant step toward mainstream adoption. The approval of these ETFs could open up new investment opportunities and further legitimize cryptocurrency in the financial markets.