$ETH ETF on the HORIZON.
Things YOU NEED to KNOW!! (NOT CLICKBAIT BS)
For newer traders i will try keep this as simple as possible so hopefully you understand and dont make mistakes.
$BTC is POW (proof of work) - Requires mining and solving block encryptions to earn BTC as rewards.
$ETH is POS (proof of stake) - Requires locked funds(Staking) to secure the network and validate transactions and earn rewards.
*Check out whiteboard crypto YT if you are new and want to learn more about blockchain and terminology.(good content for beginners*
Why does the difference matter ?
Firstly the approval this week will be the inicial approvals(19b-4 filings) allowing the ETF to be listed on exchanges,NOT traded.
After this each funds S-1 filings need to be approved and this can TAKE TIME.
There is basically 0% chance any application that includes "staking rewards" for POS will be approved, this is why all funds are currently changing the wording of their submissions before the SEC 19b-4 decision.
Basically if you invest in an ETH spot ETF you will not earn or be able to earn staking rewards, its KEY to note, why i mentioned POW and POS earlier.
As i mentioned in my earlier posts, this ETFs sudden approval rise from LOW - NEAR Certainty is political,check previous posts for more details.Should the funds gain inicial approvals, the S-1 approvals could follow shortly after IF Biden and co. wants it pushed through.
Dont fomo your life away if you hear in the next 24-48 hours that the ETF has been approved and want to rush in, it will not be live until the S-1 filings are approved and that could take days,weeks,months,it is all political at this point.If the S-1 filings stall or are stalled on purpose it will have a negative effect on ETH price.
If i missed something please let me know in the comments, i stand by my posts but i am also not a difinitve SPOT ETF expert.
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Peace.