A recent source has revealed that ethereum Spot Exchange Traded Fund (ETF) Applicants They rely on the approval of the United States Securities and Exchange Commission (SEC).
Eleanor Terret Reveals Opinions of ethereum ETF Issuers
Fox Business reporter and journalist Eleanor Terret has shared various anticipations on the SEC's position, revealing possible obstacles and diverse points of view. Terret took to social media platform X (formerly Twitter) to share the development with the crypto community.
In post X, Terret noted several different anonymous sources commenting on the development. One of the sources that has offered comments on the matter is a bitcoin spot issuer with a ethereum Spot ETF application.
Terret reported that the tipster surmised that the SEC would be forced to allow ethereum spot exchange-traded products. This follows the successful launch of multiple bitcoin Spot ETFs two weeks ago.
The journalist also highlighted another reference that influenced the possible approval schedule of eth ETFs. According to the source, ethereum ETFs are expected to “launch in late summer” of this year.
He further supports the statement by citing Black RockThe successful approval history of btc ETFs and the SEC's approval of eth futures ETFs last year are possible factors that could force the regulator to allow eth ETFs.
Interestingly, Terret asked if SEC Chairman Gary Gensler's stance that ethereum can be a security would influence the likelihood of eth ETFs being approved. The tipster then drew attention to Ripple's partial victory over the SEC in July 2023.
He declared:
The fact that the CFTC believes eth is a commodity, coupled with Ripple's partial court victory over XRP not being a security during secondary market transactions, will make it an uphill battle for Gensler to take the position that Most digital assets are securities in the future.
Additionally, Terret also made reference to the SEC commissioner. Hester PeirceOverview on the possible ethereum ETF deal. He stated that Peirce told Coinage media in an interview that the regulatory watchdog has no intention of “repeating the same mistake of delays with eth ETFs.”
Pierce said steps taken to accept other products should apply to exchange-traded products. “We need to apply 'regular' consideration to these products, the same type of consideration we apply to similar products,” he said.
The regulator's position on the product
Despite these claims, Terret still believes the decision on the matter rests with the SEC. Interestingly, he has also shared a source that demonstrates a negative stance on the matter from the regulator.
The journalist, quoting a source, said: “Another source tells me that the line at the SEC at this very moment is a firm no and that there is currently some internal resistance to the idea.”
For now, the Fox journalist expects more details about the SEC's position in the coming months. This is true if the SEC staff focuses primarily on S-1 filings, as they did with the btc Spot ETF.
Featured image from iStock, chart from Tradingview.com
