ETFs
Spot Ethereum ETFs Could Launch in July, Experts Predict
BlackRock, a major asset management company, recently updated its S-1 filing with the United States Securities and Exchange Commission (SEC). This indicates significant progress toward the launch of an Ethereum (ETH) spot exchange-traded fund (ETF).
The crypto community and experts view this update as a critical step, aligning with similar steps taken by other asset managers, such as VanEck.
Key Industry Insights on Spot Ethereum ETF Launch Timelines
In the updated document, BlackRock explicitly states that the Trust will not engage in any “staking activities” involving the use of its ETH for Ethereum. proof of participation (PoS) or generate income through such actions. As a result, the Trust will not receive any rewards or stake winnings of these activities.
“Forgoing potential returns from staking activities could cause an investment in the stocks to deviate from that which would have been obtained by purchasing and holding ether directly by forgoing staking as a source of return when an investor holds the shares”, the updated document bed.
Learn more: Ethereum ETF explained: what it is and how it works
This position reflects Recent update to VanEck’s S-1 filing. BeInCrypto previously reported that VanEck clarified that none of its affiliated parties would participate in staking activities. The proactive approach of these industry leaders suggests a coordinated effort to meet SEC requirements and advance the launch of Ethereum ETFs.
In a separate development, the Depository Trust & Clearing Corporation (DTCC) has also listed Fidelity’s spot Ethereum ETF on its website under the ticker FETH. This registration by the DTCC adds another layer of legitimacy and anticipation of upcoming offerings in the crypto ETF space. However, despite these promising signs, the official launch remains conditional on the approval of the S-1 forms by the SEC.
Nonetheless, industry experts have shared their views on potential timelines for these launches. James Seyffart, ETF analyst at Bloomberg, expressed his optimism: declaring that the SEC and issuers are actively working to launch Ethereum spot ETFs. He noted that current engagement on S-1 filings suggests a launch could happen within weeks.
“We are already a week away. But the norm is several months”, Seyffart added.
Eric Balchunas, another ETF analyst at Bloomberg, reinforced this optimism. He suggested that while a late June launch is possible, he maintains a more conservative estimate of July 4. Balchunas also raised the possibility of accelerated approval, but judge it is unlikely unless there is significant political momentum to speed up the process.
“Good sign. Probably [we will] I’ll see the rest coming soon. Then probably another round of clarification comments from [the SEC] Staff », Balchunas suggested.
Learn more: How to invest in Ethereum ETFs?
As these developments unfold, the financial and crypto communities remain vigilant, anticipating the potential impact of these ETFs on the market. The coordinated efforts of major asset managers and the commitment of the SEC indicate a pivotal moment for Ethereum investment vehicles.
Disclaimer
In accordance with the Trust Project guidelines, BeInCrypto is committed to providing unbiased and transparent reporting. This news article aims to provide accurate and current information. Readers are, however, advised to independently verify the facts and seek professional advice before making any decision based on this content. Please note that our Terms and conditions, Privacy PolicyAnd Disclaimer have been updated.