SEC rumored to be reconsidering spot Ether ETF denial, say analysts
Turner Wright3 hours agoSEC rumored to be reconsidering spot Ether ETF denial, say analystsETF analysts James Seyffart and Eric Balchunas said they had increased their odds of the SEC approving a spot Ether exchange-traded fund from 25% to 75%.4857 Total views3 Total sharesListen to article 0:00NewsOwn this piece of crypto historyCollect this article as NFTJoin us on social networksTwo exchange-traded fund analysts have said they are reevaluating the chances of the United States Securities and Exchange Commission (SEC) approving a spot Ether (ETH) exchange-traded fund after “hearing chatter” about the financial regulator.
In May 20 X posts, Bloomberg ETF analysts James Seyffart and Eric Balchunas said the SEC might be “doing a 180” on their expected denial of spot Ether exchange-traded funds this week. Filings from the regulator, public statements from SEC Chair Gary Gensler and reports of investigations previously suggested that the commission may have been preparing to deny spot Ether ETF applications.
However, according to Seyffart and Balchunas, the two analysts changed their prediction on the odds of spot Ether ETF approval from 25% to 75%. Seyffart hinted that the investment vehicle was becoming an “increasingly political issue.”
“Never gonna hear the end of this from the [Ether] people in my replies if this turns out to be true,” said Seyffart. “But it’s what we’re hearing from multiple sources. Should see a bunch of filings over coming days if we’re correct.”Source: Eric Balchunas
The SEC must decide whether to approve or deny VanEck’s spot Ether ETF before May 23. The commission has delayed VanEck’s application for as long as it is allowed under regulatory guidelines, making it the first in a long line of spot Ether ETFs being considered — ARK 21Shares, Hashdex, Invesco Galaxy, BlackRock and Fidelity are also waiting for a decision from the SEC.
Related:If SEC approves spot Ether ETFs, many ‘will be caught severely offside’
In an April 9 interview, VanEck CEO Jan van Eck said he doubted that the SEC would approve his company’s ETF application in May. Asset manager Grayscale withdrew an application for an Ether futures ETF on May 7, and Michael Sonnenshein announced he would step down as CEO on May 20.
U.S. lawmakers in the House of Representatives and Senate voted in the last two weeks to overturn an SEC rule affecting how the regulator treats banks dealing with companies holding assets. It was unclear at the time of publication whether President Joe Biden intended to follow through with his threat to veto the congressional resolution or sign it into law.
Magazine:The real risks to Ethena’s stablecoin model (are not the ones you think)# Investments# SEC# United States# Regulation# Ethereum ETFAdd reaction