ETFs
SEC Chairman ‘Considering’ Some Ether Spot ETF Approvals Over Summer
Key takeaways
- SEC Chairman Gensler said he is considering approval of some spot ether ETFs over the summer.
- The SEC approved the listing of these products by exchanges last month and individual issuers are currently working through the registration and disclosure process with the regulator.
- Gensler still won’t call ether a commodity, although progress in approving ether spot ETFs is seen as a reversal of the SEC’s position.
Ether Spot (ETH) exchange-traded funds (ETFs) could soon become a reality.
U.S. Securities and Exchange Commission (SEC) Chairman Gary Gensler said Thursday that he “envisions” the SEC approving some ETF applications over the summer, after its regulator last month approved the global listing of these products by the stock exchanges.
Despite Gensler’s comments, ether was down 2.8% as of 1:36 p.m. ET Thursday, amid general weakness in cryptocurrency markets.
When will Ether ETFs be approved
While ether ETFs, as products that can be listed on exchanges have been authorized by the SEC Last month, Gensler explained that the next step is for each individual issuer to have its registration statement, or S-1, approved.
“Individual issuers are still working on the registration process which is working smoothly,” Gensler said, adding that approvals could follow once the required registration and disclosure process is completed.
“I would consider it over the summer,” he said.
A previous report from Galaxy Digital also indicated an expectation of one-time Ether ETF approvals. by the end of August.
Ether has been at the center of a perceived regulatory reversal on crypto at the SEC in recent weeks, as the approval for listing of ether spot ETFs on US exchanges came as a surprise.
Gensler still won’t say if ether is a commodity
At the U.S. Senate Appropriations Committee hearing regarding the 2025 budgets of the SEC and the Commodity Futures Trading Commission (CFTC), Gensler and CFTC Chairman Rostin Behnam were both questioned by U.S. Senator Bill Hagerty (R-Tennessee) if ether, the underlying cryptocurrency of the Ethereum network, is a commodity.
Behnam reiterated the The CFTC’s position that ether is a commodity, but Gensler did not answer the question directly. Instead, he talked about the SEC’s approval of ether spot ETFs and how that process is playing out.