The potential launch of US spot Ethereum ETFs in June has been a topic of much speculation within the cryptocurrency community. Bloomberg ETF analyst Eric Balchunas suggested that there is a “legit possibility” of spot Ethereum ETFs being launched by the end of June. However, he also mentioned that an earlier mid-June launch would be a “long shot” and set July 4 as the latest possible launch date.
Balchunas’ expectations regarding the launch date of Ethereum ETFs are based on the timing of issuers’ S-1 statements. He highlighted BlackRock’s May 29 S-1 amendment, noting that it did not include essential information such as fees, making it a “next to final version.” Grayscale also updated its fund with an S-3 amendment on May 30, explicitly prohibiting staking. These steps are seen as final requirements before the funds can be launched for trading.
Balchunas suggested that the SEC’s handling of the approval process for Ethereum ETFs might be driven by political motivations. He argued that the SEC’s initial approvals were aimed at fulfilling political needs rather than a genuine interest in expediting the launch. Other industry experts, including Cathie Wood and David Han, have also expressed similar sentiments, claiming that the SEC approved the funds for political reasons.
The SEC has reportedly requested other applicants to submit draft S-1 filings by May 31, after which the first round of comments will be issued. Subsequent amendments may be required based on the SEC’s feedback. As of now, all Ethereum issuers have submitted S-1 or S-3 registration statements, with only VanEck joining BlackRock and Grayscale in submitting post-approval amendments. Balchunas’ colleague, James Seyffart, expects the SEC to take several weeks or months to approve the S-1 statements.
The potential launch of US spot Ethereum ETFs in June is subject to various factors, including the timing of issuers’ S-1 statements, political motivations within the SEC, and the overall approval process. While there is optimism surrounding the launch, uncertainties remain regarding the exact timeline. Investors and enthusiasts in the cryptocurrency space will be closely monitoring developments to gauge the impact of Ethereum ETFs on the market.
Leave a Reply