- Nate Geraci reports smooth amendment process, suggesting SEC could soon set a trading commencement date for ETFs.
- Analysts anticipate potential SEC approval of Ethereum ETFs by early July, possibly aligning with U.S. Independence Day.
The path toward launching spot Ethereum Exchange-Traded Funds (ETFs) seems closer to realization as recent regulatory updates suggest approvals could be imminent within the next two to three weeks.
Nate Geraci, President of ETF Store, indicated that following a round of amendments to the S-1 filings—required for registration with the U.S. Securities and Exchange Commission (SEC)—the process has proceeded smoothly and with minimal additional requests from the regulator.
Fwiw, sources close to spot eth ETF filings…
“B/c last round of S-1 revisions were so light, SEC could contact issuers at any point w/ date as to when funds can launch.”
“Timeline to launch is not clear, but we reasonably expect it would be in next 2-3 weeks.”
via @strack_ben pic.twitter.com/rhGtISVTEp
— Nate Geraci (@NateGeraci) June 26, 2024
This update follows a series of filings by significant financial institutions, including BlackRock, Fidelity, and Grayscale, among others, reflecting a growing interest in the crypto ETF space.
These submissions were part of a call by the SEC for amendments, which has seen a responsive wave from eight prominent firms. The SEC’s chairman, Gary Gensler, has noted that the process is unfolding without major issues, suggesting a potential green light soon.
🚨 Breaking News: SEC Chairman Gary Gensler has informed Senator Bill Hagerty that he anticipates the approval of #Ethereum (#ETH) Spot ETF S-1 filings by the conclusion of the summer season. 🧐 pic.twitter.com/Vc5wKru6uS
— Collin Brown (@CollinBrownXRP) June 13, 2024
It’s really up to the asset managers to make full disclosure so that these registration statements can take effect,” Gensler explained.
Geraci’s insights reveal that the latest amendments were notably straightforward, implying that no substantial revisions were required from the applicants. This development suggests that the SEC might soon set a date for the ETFs to commence trading, a step that would mark a integration of cryptocurrency into mainstream financial products.
Analysts are aligning their forecasts around a possible approval date, with some pointing to early July as a likely window.
This speculation is buoyed by comments from industry leaders like Matt Hougan, CIO of Bitwise, who hinted at forthcoming positive developments that could predicts spot Ethereum ETFs will attract $15 billion of net inflows in 18 months.
1/ Ethereum ETPs will attract $15 billion in net flows in their first 18 months on the market.
A thread on how I get to this estimate.
— Matt Hougan (@Matt_Hougan) June 26, 2024
Moreover, the discussion around fees associated with these ETFs has been a point of differentiation among applicants. Franklin Templeton and VanEck have publicly disclosed their proposed fees, with VanEck recently moving to a zero-fee model for its Ethereum ETF until either 2025 or until the fund reaches $1.5 billion in assets.
This aggressive pricing strategy could influence how competitors structure their fees, potentially driving down costs for investors.
