Bitwise Files Early Amended S-1 Registration for Spot Ethereum (ETH) ETF with SEC

• In a significant move, Bitwise has updated its S-1 registration with the U.S. Securities and Exchange Commission (SEC) to propose a spot Ether exchange-traded fund (ETF).
• This amendment comes on the heels of SEC Chair Gary Gensler’s remarks indicating potential approval for these ETFs by summer 2024, with analysts suggesting a possible timeline as early as July.
• Analyst Eric Balchunas noted that Bitwise’s latest filing was ahead of a looming deadline and characterized the latest feedback from the SEC as minimal, indicating a swift update process.

Bitwise Surges Ahead with Spot Ether ETF Proposal, Amending S-1 Registration with SEC

Bitwise’s Strategic S-1 Registration Amendment

On July 3, Bitwise submitted an updated Form S-1 registration statement to the SEC. This update includes a fee waiver extending up to $500 million over six months. Although the filing does not specify an exact launch date, it anticipates listing and trading will occur on NYSE Arca “as soon as practicable after the effective date” of the registration.

Eric Balchunas Weighs In

Bloomberg ETF analyst Eric Balchunas observed that Bitwise made the amended filing ahead of a July 8 deadline, aiming to expedite the process. Balchunas mentioned that the latest round of SEC comments required almost no revisions, highlighting the efficient turnaround time for the amendment.

SEC’s Deliberation and Approval Timeline

The pace at which the SEC is handling these approvals has puzzled many, including Balchunas, who suggested that either a troublesome issuer or the summer slowdown could be contributing factors. Despite the minimal comments from the SEC, these ETFs have yet to begin trading, indicating some delays in the regulatory timeline.

Summer Approval Prospects

Bitwise’s proactive stance follows the SEC’s approval of 19b-4 filings for spot Ether ETFs submitted by eight asset managers on May 23. The crypto community has since been on high alert for further steps from the SEC about the official release date. During a Senate Banking Committee hearing on June 13, SEC Chair Gary Gensler hinted at possible approvals over the summer, mentioning that the registration process was proceeding smoothly.

Expectations Set by SEC Chair

In a June 5 interview with CNBC, Gensler acknowledged potential delays, noting that the next steps would be time-consuming. Originally, Bitwise filed its S-1 with the SEC for Ether ETF shares in March, amid speculation that the SEC might classify ETH as a security. However, subsequent court documents from June indicated that the SEC had abandoned this consideration.

Conclusion

The updated filings and strategic maneuvers by Bitwise highlight its commitment to launching a spot Ether ETF. With the SEC Chair’s indications of approvals by summer and minimal current feedback from the commission, the crypto investment community remains hopeful for a timely launch. Investors and stakeholders should stay tuned for further updates as Bitwise and other asset managers maneuver through the regulatory landscape. The approval of these ETFs could mark a significant milestone for Ethereum-related financial products.