SEC could approve multiple Ether ETFs soon while delaying Bitcoin spot ETFs
- The US SEC could green-light multiple Ether futures, according to a recent Wall Street Journal report.
- If approved, it would be the first Ether futures ETF in the United States to track Ethereum price.
- This decision comes as the SEC delays its approval of the Bitcoin spot ETF.
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The United States Securities and Exchange Commission (SEC) could approve Ether (ETH) futures Exchange-Traded Fund (ETF). This news comes after the SEC mentioned it was ready to review ETF-related filings. As a result, August’s first week saw a large inflow of asset managers filing for Ether futures ETF.
Also read: Single trader lost $55M on Ether long yesterday
SEC could give Ethereum ETF the green light
The Wall Street Journal report mentions that the SEC could approve multiple Ether futures ETFs but does not note a date. The Volatility shares asset manager stated that the company would file Ether-linked futures ETF on October 12.
If successfully approved, a long list of asset managers is waiting to list Ether’s futures ETF in the US. Hence, investors need to be careful and look for a sudden spike in volatility.
Ethereum (ETH) price currently trades around the $1,600 level after a 14% collapse on August 17.
Read more: Expert says demand for ETH futures ETFs will be fairly limited overall as investors want real deal, spot ETFs
Bitcoin ETFs keep getting delayed
Unlike Ethereum’s futures ETF, which the SEC could be cozying up to approve, Bitcoin’s spot ETF is a different story. Bitcoin futures ETFs have been approved since October 2021, but the Chicago Mercantile Exchange (CME) listed Bitcoin futures in December 2017. This gives BTC a first-mover advantage. In this regard, ProShares Bitcoin Strategy ETF, the first futures-based ETF for BTC, launched in October 2021. Since its launch, this fund has racked up $1 billion in Assets Under Management (AUM).
As for the SEC’s decision on Grayscale’s Bitcoin spot ETF, it was delayed on August 18. The hype for Bitcoin spot ETF reignited after BlackRock’s filing on June 15, and the iShares ETF review deadline is September 2. The final deadline for the same is March 15, 2024.
@EricBalchunas @NateGeraci
— Citadel (@Citadel8874) August 18, 2023
So next up is Blackrock right… pic.twitter.com/dd88ak8hi0
Read more: Bitcoin spot ETF approval could help power up a new crypto cycle: Bernstein
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Author
Akash Girimath
FXStreet
Akash Girimath is a Mechanical Engineer interested in the chaos of the financial markets. Trying to make sense of this convoluted yet fascinating space, he switched his engineering job to become a crypto reporter and analyst.
