In the recent filing, the US SEC stated that they are still considering whether these ethereum ETFs should go public.
The United States Securities and Exchange Commission (SEC) has announced a delay in its decision on several ethereum (eth) exchange-traded funds (ETFs) until May 2024. According to regulatory filings dated December 18, the SEC postponed its decision on the Hashdex. Nasdaq ethereum ETF and Grayscale ethereum Futures ETF.
The Hashdex Ether ETF will hold spot Ether and futures contracts. Similarly, Grayscale's ethereum Futures ETF is a strategic move to potentially facilitate the conversion of Grayscale's ethereum Trust into a spot ethereum ETF, often referred to as a “Trojan horse.”
In these filings, the SEC stated that it is initiating proceedings to gather additional public information on whether these ETFs should go public. The regulatory agency also extended its decision timeline for VanEck's ethereum spot ETF and the ethereum spot ETF proposed by Cathie Wood's ARK Invest and 21Shares.
Bloomberg ETF analyst James Seyffart confirmed expected delays in the decision on Ether (eth) exchange-traded funds (ETFs). These delays are likely to occur before December 25. Seyffart noted that the SEC's final deadline for ruling on these ETFs will fall at the end of May. Of note, despite previously approving ethereum futures ETFs, the SEC has yet to grant approval for a spot or mixed rate product.
Focus on Spot bitcoin ETFs
Market attention is currently focused on the possible SEC approval of 13 bitcoin (btc) spot ETFs. Analysts, including Bloomberg's James Seyffart and Eric Balchunas, suggest the SEC could make a decision as early as January 10, with a favorable outlook of around 90% for bitcoin ETF spot approval.
The prospect of institutional access to bitcoin has fueled optimism in the markets, contributing to bitcoin's impressive 44% growth over the past six months. Ether, meanwhile, saw a more modest 16.8% gain over the same period, according to data from TradingView.
In the latest, ARK Invest and 21Shares have collaboratively filed an S-1 amendment with the US SEC for their bitcoin Spot ETF, incorporating the SEC's “cash creation” redemption mechanism for the product proposed. This strategic move is seen as positive for the progress of the BlackRock Spot bitcoin ETF, marking a notable development in the dynamic landscape of cryptocurrency exchange-traded products. In line with this trend, WisdomTree also updated its bitcoin ETF filing by filing an S-1 amendment.
bitcoin and the broader cryptocurrency market are experiencing substantial volatility, with the btc price rising 5.5%, surpassing the $43,000 level. In the last 24 hours, bitcoin has contributed more than $50 billion to its market capitalization.
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