According to Bloomberg, asset managers are hopeful that the Securities and Exchange Commission (SEC) will approve the first US Exchange-Traded Funds (ETFs) that invest directly in Ether. Despite previous market uncertainties, the recent feedback from the SEC to issuers last Friday was comprised of minor questions that are currently being addressed.
In May, the SEC received filings from firms including BlackRock Inc., Fidelity Investments, 21Shares, and Invesco, all of which are awaiting approval. However, many issuers have yet to disclose the fees on their respective funds, a necessary step before the funds can begin trading.
If the funds are approved, a significant question remains: will the Ether portfolios generate a demand similar to the one created by the historic debut of US spot-Bitcoin ETFs in January? These Bitcoin ETFs have since accumulated $52 billion in assets.
Ether, the second-largest cryptocurrency after Bitcoin, has seen a 50% increase this year, despite a 1.6% drop to $3,409 as of 11:25 am in New York.