The hype about crypto exchange traded funds (ETFs) or stock exchange funds live on. Recently, several companies in the US have submitted applications for a spot bitcoin ETF. This time it’s the turn of the Ethereum (ETH) medium of exchange. However, it is not a spot ether ETF, but an exchange fund for ETH futures.
At least six mutual funds have filed an application with the US Treasury for an ETH futures exchange fund. The Securities and Exchange Commission (SEC) has applied for an Ethereum futures ETF ten times in the past, but all of them have been rejected. Is it different this time?
Six Ethereum exchange funds applied for
Was on July 28th volatility stocks Be the first to submit your application. Five more applications followed three days later, including from Bitwise, VanEck, Roundhill, ProShares and Grayscale. They are all big players but have had little regulatory success with crypto funds so far.
It is now up to the SEC to review the filings. If all goes well, the earliest we can expect an Ethereum futures ETF is October 12, unless the SEC blocks it. The Financial Regulator may also defer the decision.
Anger at spot bitcoin ETF
As mentioned earlier, the Ethereum ETF follows the craze for Bitcoin (BTC) ETFs. In mid-June, the crypto market exploded on a bitcoin spot exchange fund application from Blackrock, the world’s largest financial institution. Although no spot Bitcoin ETF has ever been approved by the SEC in the past, there seems to be hope that things will be different this time. According to the rumors in the crypto corridors, there is a good chance that Blackrock will actually receive its Bitcoin ETF.
The first application we’re getting clarity on is ARK 21Shares’ Bitcoin ETF application. That deadline will take place later this month. So while all eyes are on Blackrock’s endorsement, perhaps ARK’s is just as important. The applications are almost all identical. So if the SEC accepts one filing, it may have to accept all filings.
The other bitcoin ETF applications are planned for September. However, the SEC also has the option to postpone the judgment here. So there’s a chance we’ll have to wait until early 2024 to actually make the decision. Bitcoin futures ETFs already exist in the US.