The post Ethereum ETF Received Preliminary Approval to Start Trading on July 23 appeared first on Coinpedia Fintech News
The Securities and Exchange Commission has given preliminary approval to at least three of the eight asset managers, namely BlackRock, Franklin Templeton, and VanEck, that want to launch exchange-traded funds based on the spot price of ether, which will begin trading on July 23.
The approval is dependent on applicants submitting final offering documentation to authorities by the end of this week. Fidelity, ARK 21Shares, Grayscale, Bitwise, and Invesco Galaxy are all in the running to offer Ether products next week.
According to sources the SEC had no further comment on the recently filed S-1. Eric Balchunas, senior ETF analyst at Bloomberg, tweeted that the SEC finally got back to issuers, asking them to file their final S-1 forms (including fees) this Wednesday, the filing would go into effect after the close of trading next Monday, in order to launch on next Tuesday. That’s of course if there are no unforeseen last-minute problems.
ETF analyst Nate Geraci says there’s no “good reason” for spot Ether ETFs not to launch this week. The ETF analyst and president of The ETF Store told X that the roster of eight spot ETH ETFs will be launched by the end of this week.
“Welcome to the spot ETH ETF approval week. Geraci noted in a July 14 X post, “I don’t know anything specific, but I can’t think of a good reason for any further delay at this point.”
Several issuers, including VanEck and 21Shares, filed updated registrations last week in the hopes of obtaining the SEC’s final approval to begin launching spot Ether ETFs.
Many analysts believe that the launch of ETFs will be a major stimulus for ETH price growth in the coming months.
Bitwise’s chief investment officer Matt Hougan said that the spot Ether ETFs could attract up to $15 billion in inflows in the first 18 months of trading, which is around the same amount that the spot Bitcoin ETFs have received since their introduction six months ago.
If approved, the spot Ether ETFs will be listed on the Nasdaq, the New York Stock Exchange, and the Chicago Board Options Exchange.
The price of Ether has risen above $3,300, with expectations that spot ETH exchange-traded funds (ETFs) will launch as early as the end of this week.
And as of July 16, it was trading for $3,331, up 16% from $2,909 the previous week.
Conclusion
The SEC’s approval of spot Ether ETFs has significant implications for Ether, including the perception that it is now an asset.
Investors have expressed serious concerns about the absence of regulatory guidance, which has been addressed with the introduction of Ether ETFs. While there might be withdrawals in the near term, Ethereum will benefit in the long run from increased legitimacy and fewer legal issues.
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