- The US Securities and Exchange Commission (SEC) has once again postponed a decision on a spot Ethereum exchange-traded fund (ETF) application.
- The crypto market, accustomed to spot Ethereum ETF delays, has received another one from the SEC.
- Despite the expectation that a spot Bitcoin ETF approval would also generate anticipation for Ethereum, the SEC’s securities and commodity confusion has led to further delays.
The SEC has delayed a decision on a spot Ethereum ETF application, adding to the series of postponements in the crypto market. This article delves into the implications of this delay and what it means for the future of Ethereum ETFs.
SEC Postpones Decision on Spot Ethereum ETF Application
The US Securities and Exchange Commission (SEC) has once again deferred a decision on a spot Ethereum exchange-traded fund (ETF) application. This announcement, made on May 6th, pertains to the spot Ethereum ETF application jointly submitted by Invesco and Galaxy. The decision has been postponed to July 5, 2024.
Previous Delays by the SEC
In the past, the SEC has also delayed decisions on spot Ethereum applications from financial giants such as Franklin Templeton, VanEck, and BlackRock. These decisions are now expected to be made in the coming months. Despite the delays, the crypto market has become accustomed to such postponements from the SEC.
Expectations for Ethereum Following Bitcoin ETF Approval
Although the approval of a spot Bitcoin ETF created expectations for Ethereum as well, the SEC’s confusion over securities and commodities has resulted in further delays. There is yet to be a consensus on this matter, but the SEC is expected to approve spot Ethereum ETFs in the future.
Conclusion
The SEC’s repeated delays on decisions regarding spot Ethereum ETF applications have become a norm in the crypto market. Despite these postponements, there is still anticipation for the approval of Ethereum ETFs, particularly following the approval of a spot Bitcoin ETF. The future of Ethereum ETFs now hinges on the SEC’s understanding and classification of cryptocurrencies as securities or commodities.
