SEC has a ‘hard no’ stance on spot Ethereum ETFs, but issuers are optimistic: FOX reporter

FOX Business newsman Eleanor Terrett reported a wide scope of expectations regarding spot Ethereum ETF approvals connected Jan. 23.

Notably, Terrett suggested that the U.S. Securities and Exchange Commission (SEC) is opposed to approving a spot Ethereum ETF. She said:

“Another root tells maine the enactment astatine the SEC astatine this precise infinitesimal is simply a ‘hard no’ and there’s presently ‘some interior resistance’ to the idea.”

Terrett did not authorities whether that root is simply a subordinate of the SEC itself oregon a subordinate of an plus manager seeking support from the SEC.

Terrett besides noted that SEC commissioner Hester Peirce, known for her pro-cryptocurrency stances, has advocated for a much straightforward determination process. The SEC successful portion approved spot Bitcoin ETFs due to the fact that 1 applicant, Grayscale, obtained a ineligible victory, arsenic SEC seat Gary Gensler explained successful a statement. Peirce criticized that attack successful an interrogation with crypto quality level Coinage today, arsenic she said that ETF approvals should impact “regular mode consideration” alternatively than tribunal cases compelling action.

Terrett concluded that further indications of the SEC’s stance volition look successful the coming months arsenic it becomes wide whether it engages with S-1 registration statements. The SEC typically posts notices of meetings with plus managers and exchanges connected each ETF’s leafage arsenic they occur.

Asset managers look to beryllium optimistic

Despite absorption wrong the SEC, Terrett suggested that the plus managers liable for issuing each money are optimistic astir approval.

According to Terrett:

“[One] issuer with an ETH Spot ETF exertion says they’re assured the support and creaseless motorboat of the Bitcoin spots volition compel the [SEC] to o.k. ETH spot ETFs.”

Another unnamed issuer said that they expect a spot Ethereum ETF to motorboat by the extremity of the summertime due to the fact that of the SEC’s earlier support of Ethereum futures ETFs, and due to the fact that of BlackRock’s beardown ETF support record.

That root besides cited the CFTC comments suggesting Ethereum is simply a commodity, arsenic good arsenic Ripple’s partial ineligible victory against the SEC, arsenic factors that could much broadly forestall the SEC from labeling crypto assets arsenic securities. However, it is not wide that those developments volition straight interaction spot Ethereum ETF approvals successful the coming months.

Public expectations astir support vary. Bloomberg ETF expert Eric Balchunas posits a 70% accidental that an spot Ethereum ETF volition beryllium approved successful May, portion JP Morgan enforcement Nikolaos Panigirtzoglou has predicted a 50% accidental of approval. Polymarket likelihood suggest a 53% accidental of approval.

The station SEC has a ‘hard no’ stance connected spot Ethereum ETFs, but issuers are optimistic: FOX reporter appeared archetypal connected CryptoSlate.