BlackRock’s spot Ethereum ETF, known as $ETHA, has made a significant breakthrough in the cryptocurrency market by being listed on the Depository Trust and Clearing Corporation (DTCC). This achievement comes after the US Securities and Exchange Commission (SEC) gave its approval to eight new Ethereum-focused exchange-traded funds (ETFs) from major asset managers including VanEck, Fidelity, Franklin, Grayscale, Bitwise, ARK Invest & 21Shares, Invesco & Galaxy, and BlackRock’s iShares Ethereum Trust. These ETFs are set to be listed on renowned exchanges like Nasdaq, NYSE Arca, and Cboe BZX Exchange.
However, despite the SEC approving Forms 19b-4 for these ETFs, the actual trading commencement is pending final approval of each fund’s S-1 filings. This process can take anywhere from a few weeks to several months. James Seyffart, an ETF analyst at Bloomberg, clarified, “It doesn’t mean they will start trading tomorrow. This is just the 19b-4 approval. Approval of S-1 documents is also required, which will take time. We expect it to take a few weeks, but it could take longer.”
Discussions between the SEC and ETF issuers are currently focused on the S-1 forms, and Seyffart suggests that final approval may take up to five months. However, there is hope that the process will be expedited due to the significance of the launch. Seyffart added, “Normally this process takes months. Up to 5 months in some examples, but [Eric Balchunas] and I think this will be at least somewhat accelerated.”
VanEck, upon receiving the SEC’s approval, wasted no time and promptly filed an amended Form S-1. The company also marked the occasion with a short promotional ad inviting investors to “Enter the Ether.”
It’s important to note that the views and opinions expressed in this article, including those of the author, are for informational purposes only and should not be considered as financial or investment advice. Investing or trading cryptocurrencies comes with a risk of financial loss.
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