Fox News reporter Eleanor Terrett has revealed differing opinions among stakeholders regarding the potential approval of a spot ethereum exchange-traded fund (ETF).
While certain issuers are optimistic and suggest that the approval of bitcoin spot ETFs could force the SEC to greenlight ethereum-based products, possibly as soon as late summer, others argue that the agency's stance on eth is leaning towards rejection due to significant internal resistance within the sector. SECOND.
Conflicting opinions on SEC approval
According to Terrett, one issuer that has already gained approval for a bitcoin spot ETF expresses confidence that the successful launch will influence the SEC to give the green light to ethereum ETFs.
However, another source paints a more pessimistic picture, stating that there is a “firm no” at the SEC, with internal resistance to the idea.
Inform about the schedule of a possible $eth The approval of ETFs has generated a lot of different opinions from ETF issuers, investment management companies and sources close to the @SECGov.
One $btc Spot ETF issuer with an eth spot ETF application says it trusts…
-Eleanor Terrett (@EleanorTerrett) January 23, 2024
A third source speculates that the approval of ethereum futures ETFs and BlackRock's track record in approving ETFs could pave the way for eth spot ETFs to launch later this summer.
When asked about SEC Chairman Gary Gensler's stance on ethereum as a potential security, the source suggests that given ethereum's classification as a commodity by the Commodity Futures Trading Commission (CFTC ) and the recent legal developments with Ripple's XRP, it may be a challenge for Gensler to claim that most digital assets are securities.
SEC Commissioner Hester Peirce emphasized the importance of avoiding delays in the approval process for ethereum spot ETFs.
She stated: “We need to apply 'regular' consideration to these products, the same type of consideration we apply to similar products.”
JP Morgan analysts skeptical
Meanwhile, JP Morgan analysts led by CEO Nikolaos Panigirtzoglou expressed reservations via a note to clients sent on January 18 about the likelihood of the SEC approving ethereum spot ETFs.
Citing regulatory and judicial concerns, analysts predicted a less than 50% chance of approval. They also noted skepticism about the SEC classifying ethereum as a commodity as early as May.
As the SEC continues to deliberate on ethereum spot ETFs, market participants are eagerly awaiting clues from the regulatory body in the coming months.
According to Terrett, the SEC's handling of the S-1 filings will likely provide insight into the agency's stance. The ball remains firmly in the SEC's court, and the crypto community is watching closely how things develop.
Binance Free $100 (Exclusive): Use this link to sign up and receive $100 free and 10% off fees on Binance Futures for the first month (terms).
<!– ai CONTENT END 1 –>