The anticipated approval of Ethereum spot ETFs has once more faced a delay. Initially set to be finalized by July 2nd, the US Securities and Exchange Commission (SEC) has pushed back the deadline for issuers to submit revised documentation to July 8th.
Eric Balchunas, a Senior ETF Analyst at Bloomberg, shared his disappointment on social media, stating, “Regrettably, we must push back our prediction deadline post-holidays. The SEC took additional time to respond this week, albeit with minor adjustments.” He further mentioned, “As per my sources, next week will be quiet due to the holiday, but come July 8th, the process will resume, and subsequently, approvals will follow.”
In the past month, SEC Chairman Gary Gensler hinted that the green light for Ethereum ETFs may come by “late summer,” emphasizing the critical review and approval of S-1 forms essential for launching Ethereum spot ETFs. This progression follows the approval of Forms 19b-4 by the SEC in May.
Additionally, various ETF issuers have aimed to attract institutional investments by implementing aggressive fee-waiver strategies. Franklin Templeton announced a waiver of the 0.19% sponsorship fee on the initial $10 billion in assets for six months. Similarly, VanEck has waived the 0.20% sponsorship fee on the first $1.5 billion until an unspecified date in 2025. Notably, industry leaders such as BlackRock and Fidelity have yet to disclose their fee structures.
Jupiter Zheng, a partner at HashKey Capital’s Liquid Fund, highlighted Ethereum’s appeal to institutions in sectors like finance, supply chain, and technology. Zheng anticipates a moderate market upturn upon ETF launches but also foresees a “sell the news” sentiment prevailing among investors.
Please note that the opinions expressed in this article are solely for informational purposes and do not constitute financial or investment advice. Investing or trading in cryptocurrencies carries a risk of financial loss.
In an Editor’s Choice, a report projects net inflows of $15 billion attracted by Ethereum ETFs in the initial 18 months, with a significant surge expected in the first five months.