coinculture.com
The US Securities and Exchange Commission has announced its recent approval for spot Ethereum ETFs for accelerated launch, according to a document uploaded to the agency’s website.
“After careful review, the Commission finds that the Proposals are consistent with the Exchange Act and rules and regulations thereunder applicable to a national securities exchange,” the document states.
The SEC filings list eight Ethereum ETFs from VanEck, Fidelity, Franklin, Grayscale, Bitwise, ARK Invest & 21Shares, Invesco & Galaxy, and BlackRock’s iShares Ethereum Trust, proposed for listing on Nasdaq, NYSE Arca, and Cboe BZX Exchange.
Ethereum ETFs face a weeks-long process of finalising S-1 registration statements, a form required by the SEC for ETFs to list securities, and establishing exchange agreements through multiple rounds of SEC communication.
The move is expected to bring a substantial influx of institutional capital into the Ethereum market, with Standard Chartered Head of Digital Assets Research Geoff Kendrick predicting inflows of $15 to $45 billion in the first 12 months.
To address SEC concerns, potential spot $ETH ETF issuers, including Fidelity, Franklin Templeton, Ark, Invesco, Grayscale, Bitwise, and VanEck, have updated their filings to confirm they will not stake $ETH for yield.
Earlier this week, Bloomberg analysts Eric Balchunas and James Seyffart have increased the odds of a spot Ethereum ETF being approved this month from 25% to 75%.
The approval of Ethereum ETFs and the passage of the FIT21 crypto bill suggest a shift in the Biden Administration’s stance on crypto, following former President Trump’s pledge to support the industry and foster a business-friendly environment in the US.
The approval comes just five months after the SEC gave the green light to 11 spot Bitcoin ETFs, marking a significant shift in the regulatory landscape for crypto in the US.