US SEC Approves All Spot Ethereum ETFs

The US Securities and Exchange Commission (SEC) has given the green light to Spot Ethereum ETFs. This approval comes just five months after the SEC approved Spot Bitcoin ETFs, marking a significant development in the world of cryptocurrency investments.

This decision makes Ethereum the second cryptocurrency to have an ETF approved in the United States, opening up new opportunities for institutional investors to access the second-largest digital currency.

Initially, the SEC published and then quickly removed the official filing, possibly due to an early leak. However, the filing has been republished, confirming the approval. Despite the SEC’s previous hesitations towards cryptocurrencies, both Bitcoin and Ethereum now have approved ETFs. Each issuer will still need to get their individual filings approved before their ETFs can start trading.

The approval odds for Ethereum ETFs saw a dramatic increase in May, as Bloomberg raised them from 25% to 75%. This boosted market anticipation, and now the approval has been officially granted. This move indicates a significant shift in the US perspective on digital assets.

Several firms have submitted applications for Ether-based ETFs, including VanEck, ARK21 Shares, Hashdex, Invesco Galaxy, Franklin Templeton, Fidelity, and BlackRock, the world’s largest asset manager. VanEck faced the earliest approval deadline among these firms.

Next Steps for Spot Ethereum ETFs:
With the SEC’s approval of the initial forms, issuers now await the approval of their S-1 forms, which are necessary to publicly offer new securities. This approval process could take weeks to months, depending on how quickly the SEC processes each application.

Market Impact:
The approval of Bitcoin ETFs earlier this year saw Bitcoin reach an all-time high within three months. Experts predict a similar trend for Ethereum. In anticipation of the ETF approval, Ethereum’s value has already increased by nearly 30% in the last week.

This landmark approval is a key milestone in making cryptocurrencies more accessible to a wider range of investors, potentially driving further growth and acceptance in the financial market.