In a recent development, the U.S. crypto/sec-announcement-crypto/#:~:text=What%20The%20SEC’s%20Latest%20Announcement%20Means%20For%20The%20Crypto%20Industry,-by%20Scott%20Matherson&text=A%20recent%20announcement%20by%20the,actions%20have%20had%20on%20it.” rel=”nofollow noopener” target=”_blank”>National stock market Commission (SEC) has bitcoin-news/21shares-spot-bitcoin-etf/#:~:text=The%20US%20Securities%20and%20Exchange,Spot%20Bitcoin%20ETF%20this%20year.” rel=”nofollow noopener” target=”_blank”>further dampened the mood in the crypto community following its decision to postpone two Spot ethereum ETF applications.
The SEC announcement
In two separate statements, the Commission announced that it was delaying its decision on the Cboe BZX Exchange’s proposed rule change for listing and trading the company’s shares. ethereum/vaneck-ethereum-etf-price-staggers/” rel=”nofollow noopener” target=”_blank”>VanEck ethereum ETF and ARK 21Shares ethereum ETF.
This decision comes just one day after the Commission announced the extension of the deadline to decide on the ARK Invest decision. bitcoin-news/sec-prove-bitcoin-is-not-manipulated/” rel=”nofollow noopener” target=”_blank”>Spot bitcoin ETF App to January 10, 2024. The decision on the ARK 21Shares bitcoin ETF was not due until November 11.
Similarly, the SEC delayed these pending eth ETF applications weeks ahead of the November 10 and 11 deadline for VanEck ethereum ETF and ARK 21Shares ethereum ETF applications, respectively.
The SEC will now have an additional 45 days (starting on November 10 and 11) to decide on these requests, with the second deadline coming in December. According to SEC statements, the decision on the VanEck ethereum ETF is scheduled for December 25, while the decision on the ARK 21Shares ethereum ETF It will arrive on December 26.
<img decoding="async" class="aligncenter size-medium" src="https://technicalterrence.com/wp-content/uploads/2023/09/SEC-Dashes-Hopes-by-Delaying-These-Two-Ethereum-ETFs-Despite" alt="Tradingview.com ethereum Price Chart (ethereum SEC ETF)” width=”2884″ height=”1746″/>
eth price remains strong above $1,600 | Source: ETHUSD on Tradingview.com
How this could play out
Contrary to what was previously reported, asset manager VanEck had requested the ethereum/vaneck-ethereum-etf-price-staggers/” rel=”nofollow noopener” target=”_blank”>first eth spot ETF, not ARK Invest. The former had filed on May 7, 2021. Meanwhile, the Ark 21Shares ethereum ETF was archived on September 6 of this year.
Based on this and the SEC announcement, the asset manager could have first-mover advantage over others if applications were approved based on filing dates.
However, it remains to be seen whether the SEC will approve any of these applications in the first place, as there is a possibility that these applications could face the same treatment that the Commission has given to the pending Spot bitcoin ETF applications.
Whatever happens, the court ruling in Grayscale case against the SEC would certainly influence the Commission’s decision on these eth spot ETFs, especially if the pending ethereum futures ETF were to launch as planned. crypto/#:~:text=The%20second%20deadline%20for%20several,the%20Bitwise%20Bitcoin%20ETP%20Trust.” rel=”nofollow noopener” target=”_blank”>in October.
If those ETFs were to launch, VanEck and ARK Invest may also argue that their ethereum Spot ETFs should be approved on the basis that the court has ruled that the futures and spot markets are correlated.
In the meantime, if the SEC decides to pursue this to the end, the earliest a final decision could be made on these pending Spot ethereum ETF applications is around May 23, 2024. according according to Bloomberg analyst James Seyffart.
Featured image from Analytics Insight, chart from Tradingview.com
