coinedition.com
The once-distant prospect of Ethereum spot ETFs has rapidly gained momentum, with expectations soaring for imminent approval, as early as today. This trajectory contrasts sharply with that of the Bitcoin spot ETF journey, which involved weeks of open dialogue between the U.S. SEC, culminating in batch approvals.
However, the Ethereum spot ETF journey has been marked by a lack of communication until the eleventh hour, leading many analysts to initially dismiss the likelihood of approval. Specifically, on Monday, the SEC sought updated filings from certain intending Ethereum spot issuers.
The sudden engagement between the SEC and Ethereum ETF hopefuls on May 20 fueled speculation of last-minute political influence, particularly as the move coincided with U.S. presidential candidate Donald Trump’s campaign embracing crypto donations.
Bloomberg ETF analysts James Seyffart and Eric Balchunas revised their forecast for the SEC’s approval of an Ethereum spot ETF, increasing the likelihood from 25% to a more hopeful 75%.
With the updated 19b-4 forms submitted to the SEC, discussions regarding the S-1 registration statements have been initiated, signaling a potentially clearer path to approval.
Today is particularly critical as it represents the deadline for the SEC to decide on the VanEck Ethereum spot ETF, with the potential for either approval or a requirement for reapplication.
Despite the positive signs, the final step for the ETFs to commence trading remains uncertain. Trading hinges on the effectiveness of the S-1 registration statements. Observers suggest the approval of S-1 forms for Ethereum ETFs may face delays due to the SEC’s last-minute processing.
According to Fox Business reporter Eleanor Terrett, the S-1 forms still need work, suggesting they are not yet in the final form. Bloomberg ETF analyst James Seyffart noted that while a few weeks could suffice with intense effort, such processes have historically taken over three months. Therefore, even with approval, the commencement of Ethereum ETF trading could be postponed.
Disclaimer: The information presented in this article is for informational and educational purposes only. The article does not constitute financial advice or advice of any kind. Coin Edition is not responsible for any losses incurred as a result of the utilization of content, products, or services mentioned. Readers are advised to exercise caution before taking any action related to the company.