The US Securities and Exchange Commission (SEC) announced that it has postponed its decision on requests from 21Shares and VanEck to launch an Ethereum-based spot ETF.
The regulator considered it “appropriate” to delay consideration of the applications to give it sufficient time to study the issue.
For 21Shares, the date was postponed to December 26, and for VanEck – until at least December 25.
On September 6, ARK Invest and 21Shares submitted a proposal to the SEC to launch a joint Ethereum-spot ETF. If approved, the instrument will provide the opportunity to directly assume risk on price fluctuations of the second largest cryptocurrency by capitalization with the instrument listed on CBOE BZX. VanEck filed a similar request the same day.
Bloomberg senior stock analyst Eric Balchunas noted that while the decision on the Ethereum spot fund remains in limbo, futures instruments for the asset with a “90% probability” will appear in early October.
He later reported that the SEC had asked affiliated parties to update the documents by the evening of September 29. Balciunas suggested that Ethereum futures of some companies could enter the market as early as the beginning of next week.
In August, ARK Invest and 21Shares submitted a proposal to the Commission for two futures ETFs based on the second largest cryptocurrency by capitalization.
On September 27, the SEC delayed its decision on several spot Bitcoin ETF applications from ARK Invest and 21Shares until January 2024. The department also postponed the decision on the exchange-traded fund from the Global X Bitcoin Trust until November 2023.
Source: Cryptocurrency
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