The cryptocurrency community eagerly awaits the approval of Spot Ethereum ETF by the Security and Exchange Commission (SEC).
The cryptocurrency community has been quite interested in the possibility of the S-1 approval of Spot Ethereum ETF.
As a result, numerous industry professionals have discussed their perspectives on the potential timing of the Securities and Exchange Commission (SEC) of the United States of America giving the go-ahead.
Spot Ethereum ETF S-1 Approval Potential Timeline
Recently, Nate Geraci, who hosts the ETF Prime podcast, stated that the S-1 clearances might be granted within a few weeks’ time. When will the Securities and Exchange Commission (SEC) accept spot eth ETF registration statements? Geraci asked in a post on X.
Although nobody knows for certain, I would anticipate that it will be within the next few weeks. Maximum of two to three months.” In addition, Geraci is of the opinion that the approval procedure for Spot Ethereum ETF could be sped up because of the speed with which ETFs were approved for Bitcoin in the past.
In addition, he noted that the SEC had already done a significant amount of the “heavy lifting” by agreeing to the approval of Spot Ethereum ETFs and Spot Bitcoin ETFs. It is therefore possible, according to his suggestion, that it is simply “a matter of how long the SEC wants to string this out.”
At the same time, Eric Balchunas, a senior ETF analyst at Bloomberg, responded to the post that Geraci had made. Around the fourth of July in 2024, he suggested a possible schedule for the approval of the Ether ETF S-1. The statement made by Balchunas was that “July 4th feels like a good over/under.”
In agreement, Geraci proceeded to say, “I like it… If you give me the appropriate period, I’ll take the under. As a result, it is reasonable to assert that the approval process for S-1 visas could take more than one month from start to finish.
The approval process would not be as expeditious as it was in the case of Bitcoin exchange-traded funds (ETFs), but it is still very early when taking into consideration the controversy surrounding Ethereum’s status and other regulatory concerns.
Reason For Delay In Launch
Therefore, there is a very little possibility that trading in the Spot Ethereum ETF will begin within the next month. A full explanation of the approval procedure was provided by Bloomberg analyst James Seyffart, which was followed by the exchange that was noted above.
In a previous statement, Seyffart stressed the distinction between the approval of the SEC and the actual launch of the ETF. On May 23, the 19b-4 filings for eight different Spot Ethereum ETF were authorized.
Having said that, the analyst pointed out that the subsequent crucial step involves the approval of the S-1 forms, which could take a lengthier amount of time.
As he noted, “We also require approvals from the S-1.” “It could be weeks to months before we see S-1 approvals, and consequently, a live Ethereum exchange-traded fund.
“In his presentation, Seyffart brought to light the widespread misunderstanding that the approval of the 19b-4 and S-1 forms will take place simultaneously, just as it happened with the approval of the Spot Bitcoin ETF.
In addition, he made it clear that the minimum amount of time that must pass before the actual launch of the items is normally required for the SEC to give its clearance to these forms.
Communication in both directions between the regulatory body and the applicants is a must for this process, which is a dynamic that has only begun to take place this week.
This interaction took place over the course of several weeks in the case of the approval of the Spot Bitcoin ETF. When this information is taken into consideration, the timing for the approval of Spot Ethereum ETF and the subsequent launch of these funds is still unknown.
On the other hand, the confidence that is being expressed by professionals such as Geraci and Balchunas indicates that the financial community may experience tremendous progress in the few months that are to come.
According to Geraci, the Securities and Exchange Commission (SEC) has already successfully navigated the difficulties of similar ETF certifications, which may cause the current procedure for Ethereum to be simplified.