June 28, 2024

SEC Nears Approval for Ether ETFs as Talks Reach Final Stages ✅

The U.S. Securities and Exchange Commission (SEC) could approve exchange-traded funds (ETFs) tied to the spot price of ether as early as July 4, with discussions between asset managers and regulators in the final stages, according to industry insiders.

Eight asset managers, including BlackRock, VanEck, Franklin Templeton, and Grayscale Investments, are seeking SEC approval. Most had previously launched spot bitcoin ETFs in January after a decade-long regulatory battle. Grayscale hopes to convert an existing trust into an ETF.

Executives from two firms indicated that only “minor” issues remain. A lawyer working with one issuer said approval is likely “not more than a week or two away.” The SEC declined to comment.

The January launch of spot bitcoin ETFs was highly successful, drawing around $8 billion in assets. However, analysts believe the launch of spot ether ETFs will be less impactful, noting that ether has a smaller market cap and lower volumes than bitcoin.

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