Balchunas has updated his forecast for the official launch of spot Ether ETFs, moving the over/under date to July 2. The crypto expert noted that the U.S. Securities and Exchange Commission (SEC) staff had sent comments on the S-1 filings to issuers, describing them as “pretty light” without major issues. He mentioned that the SEC has asked for responses within a week, suggesting a decent chance that the ETFs could be declared effective the following week, potentially before the “holiday weekend.”
Balchunas emphasized that while anything is possible, this is their best estimate at the moment.
This statement has reinforced the belief that while there may be some delays, approval will likely happen within the next few months. He explained that this delay was attributed to Corp Fin reviewing these documents for the first time, highlighting that this unexpected situation stemmed from a likely last-minute political shift within the SEC, which surprised Corp Fin as well. Balchunas further emphasized that there is uncertainty about how quickly Corp Fin could prioritize and process the filings.
Peirce has highlighted that historically, the SEC has categorized Ethereum as a security, unlike Bitcoin, which is classified as a commodity. The SEC has maintained that Ether is a security, which introduces a distinct set of challenges compared to the approval process for Bitcoin ETFs,” Peirce remarked. However, trading of these ETFs cannot commence until they obtain the required approvals for their S-1 registration statements.
The 19b-4 forms are regulatory filings that propose amendments to current rules or regulations, facilitating the listing and trading of new securities. Concurrently, the SEC is reviewing the S-1 registration statements filed by Ethereum ETF issuers. These statements offer comprehensive details about the companies and the specific securities they plan to offer.
At the time of writing, the price of Ethereum (ETH) is hovering around $3,562.97, representing a 2.5% increase in the last 24 hours. However, the world’s second-largest crypto is still down by 3.5% on the weekly timeframe, according to CoinGecko data.
