- Despite recent setbacks and a difficult regulatory climate, Grayscale and BlackRock are moving forward with their Ethereum ETF applications.
- Ethereum’s price is optimistic right now, indicating confidence even in the unlikely event that an ETF is approved.
Both BlackRock and Grayscale Investments are continuously updating their applications for a spot Ethereum ETF. These actions coincide with reluctance on the part of the Securities and Exchange Commission (SEC) and a general assumption of denial.
Grayscale and BlackRock Move Forward: Updates on Their Ethereum ETF Applications
The first cryptocurrency fund manager, Grayscale, just submitted an S-3 registration statement on April 23. In order to transform its current Grayscale Ethereum Trust into a spot exchange-traded fund (ETF), this filing is a crucial first step.
In keeping with Grayscale’s intention for a mini Bitcoin ETF, they have also filed for an S-1 registration for a mini Ethereum ETF. Still awaiting SEC approval, though, are these cutting-edge financial products, in line with what ETHNews previously disclosed.
NYSE Arca has been actively supporting Grayscale’s goals at the same time, as seen in its previous Form 19b-4 filing. This collaborative effort demonstrates the industry’s commitment to integrating Ethereum more centrally into the trading space.
BlackRock has also been working on another front. The financial titan made changes to its iShares Ethereum Trust Nasdaq registration. In contrast to conventional in-kind procedures, the amendment proposes cash-based creation and redemption processes.
By aligning the fund with other Ethereum ETF applications and previously approved spot Bitcoin ETFs, this strategic move seeks to potentially establish a new benchmark for cryptocurrency ETF operations.
Even with these developments, public opinion toward Ethereum ETF approval is still largely negative.
Due to doubts regarding the ETF’s short-term viability in the U.S. market, Bloomberg ETF analyst Eric Balchunas recently lowered the likelihood of approval to a startling 25%, as formerly reported by ETHNews.
Furthermore, by May 31st, the betting platform Polymarket predicts an 11% likelihood of SEC approval.
The Most Recent Price Trends for Ethereum
The Bitcoin market is reflecting this cautious mindset. The ETH price is currently $3,251.17, according to the most recent data from CoinMarketCap. It has increased by 2.82% over the previous day.
With a 5.46% increase over the last week, Ethereum has demonstrated a positive tendency. This illustrates the market’s tenacious confidence in the face of regulatory uncertainty.
It’s interesting to note that the CEO of Coin Bureau believes there may be benefits to the delays in ETF licensing.
The argument is based on the traditional banking sector’s lackluster interest in cryptocurrencies, which suggests that a more gradual and methodical approach could prevent the market from becoming oversaturated too soon.
The public and investors are keeping a tight eye on the SEC as it prepares to reach a decision in May.