The Spot Ether ETF has received approval from the SEC
- After a long wait, the U.S. Securities and Exchange Commission (SEC) has finally granted approval to the spot Ether ETF.
- VanEck, BlackRock, Fidelity, Grayscale, Franklin Templeton, ARK 21Shares, Invesco Galaxy, and Bitwise have all received approval for their spot Ether ETF applications.
- The approval of spot Ether ETFs for eight firms had an impact on Ethereum prices, resulting in ETH reaching $3,950.
SEC Approves Spot Ether ETFs for Multiple Firms
After a long wait, the US Securities and Exchange Commission (SEC) has finally approved spot Ether ETFs. In a filing on May 23, the SEC approved 19b-4 filings from VanEck, BlackRock, Fidelity, Grayscale, Franklin Templeton, ARK 21Shares, Invesco Galaxy, and Bitwise, allowing them to list and trade spot Ether ETFs on their respective exchanges. However, the SEC did not approve Hashdex's spot Ether ETF.
This decision comes as security regulators are investigating whether Ether should be labeled as a security or not. Although the 19b-4 filings for spot Ether ETFs have been approved, ETF issuers still need the SEC's signature on the S-1 registration statements related to the spot Ether ETFs to officially start trading. Crypto experts believe this process could take days, weeks, or even months. Notably, the SEC had instructed applicants on May 20 to expedite their 19b-4 filings.
Earlier, on January 10, the SEC had approved the spot Bitcoin ETF, signaling a shift in its stance towards cryptocurrencies. Now, four months after approving the spot Bitcoin ETF, the SEC has approved the spot Ether ETF, which is seen as a positive sign for the cryptocurrency space. With the approval of the spot Ether ETF, there is now hope that ETFs for other cryptocurrencies might also get approved. Cryptocurrencies preparing for ETF applications include XRP, Solana, and Shiba Inu.
Spot Ether ETF Approval Boosts Ethereum Price
The news of SEC approving 8 spot Ether ETFs made Ethereum's price reach $3,950 in the market. Within 24 hours, Ethereum showed about a 1% growth. However, this surge didn't last long, and Ethereum dropped a bit again, trading around $3,806 by the time of reporting. Investors in the crypto market were hoping that with the SEC's approval, Ethereum's price would surpass its all-time high of $4,878. But their hopes didn't fully materialize. Nevertheless, experts believe that Ethereum could perform better in the future. Also, read about a major update: Pi Network has doubled its mainnet migration speed.
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