#CryptoMom , Hester Pierce, a commissioner with the U.S. Securities and Exchange Commission ( #SEC ), stated that the agency won't require a lawsuit or court ruling to approve pending spot Ethereum exchange-traded funds ( #ETFs. ). She emphasized that the SEC should treat spot Ethereum ETFs similarly to other exchange-traded products without the need for external legal pressure.
Pierce's remarks are rooted in the context of the SEC's approval of the first wave of spot Bitcoin ETFs in the U.S. The SEC, under the leadership of Jay Clinton and Gary Gensler, had rejected multiple applications for spot Bitcoin products between 2013 and 2023. However, a federal appeals court mandated the SEC to reassess Grayscale's application in 2023. Grayscale had taken the SEC to court in 2022 after the rejection of its proposal to convert its Bitcoin Investment Trust (GBTC) into a spot ETF.
The U.S. Court of Appeals for the D.C. Circuit found that the SEC's approval of two Bitcoin futures products while rejecting Grayscale's GBTC was arbitrary and capricious. This ruling led to a shift in the SEC's approach, and spot Bitcoin ETFs were approved recently.
When asked about the fate of approximately seven spot #EthereumETFIncoming applications currently with the SEC, Commissioner Pierce asserted that the approval process should follow regular considerations without needing external legal pressure. She emphasized that the SEC shouldn't require a court to deem its approach "arbitrary and capricious" for them to make correct decisions.
