Trading ETFs on the cryptocurrency Ether on the stock exchange. Source: gopixa - stock.adobe.com

Key Takeaways:

Ether ETFs Approval: The SEC is expected to approve the listing and trading of spot Ether ETFs within the next three months, as stated by SEC Chair Gary Gensler.
Regulatory Criticism: Tennessee Senator Bill Hagerty criticized Gensler for not prioritizing clear crypto regulations, while CFTC Chair Rostin Behnam classified Ether as a commodity.
Market Anticipation: Analysts predict that Ether ETFs might launch by July, following the SEC’s approval of spot Bitcoin ETFs earlier this year.

The United States Securities and Exchange Commission (SEC) is expected to approve the listing and trading of spot Ether ETFs within the next three months, according to SEC Chair Gary Gensler.

During a Senate Banking Committee hearing on June 13, Gensler mentioned that the approval of S-1 registration statements for asset managers could occur “sometime over the course of this summer.”

Final approval of ETFs linked to Ether, the world’s second-most popular digital asset, could come during the summer, SEC Chair Gary Gensler says https://t.co/0eL9sYCsZs
— Bloomberg Crypto (@crypto) June 13, 2024

This follows the SEC’s approval of 19b-4 filings from eight companies on May 23, though these require S-1 approvals to begin trading.

Tennessee Senator Bill Hagerty criticized Gensler for not prioritizing clear regulations for the crypto industry, while Commodity Futures Trading Commission Chair Rostin Behnam identified Ether as a commodity.

Gensler highlighted the ongoing registration process for Ether ETFs, indicating approvals could happen this summer.

🚨REPORT – SPOT ETHER ETFS TO ARRIVE IN SUMMER🚨

– SEC approval of issuers’ S-1 forms is all that stands between the crypto industry and the launch of spot #Ethereum ETFs in the United States.

– However, according to Fox News’ Eleanor Terrett, SEC Chair Gary Gensler has said he… https://t.co/oyTBIumQJL pic.twitter.com/V0jTBdbJBk
— BSCN (@BSCNews) June 13, 2024

Bloomberg ETF analyst Eric Balchunas and analyst James Seyffart both suggested that Ether ETFs might launch by July, though approvals could take weeks.

This follows the SEC’s approval of spot Bitcoin ETFs in January, which began trading shortly after the S-1 prospectuses were signed off.

July was and is a complete guess. But I was more confident in saying that ETH ETFs will launch at some point this summer. That was sort of a given. Gensler not really giving us much of any info in his comments that Ethereum ETFs will launch “by the end of summer” https://t.co/MASgOEV7GJ
— James Seyffart (@JSeyff) June 13, 2024

Major companies like BlackRock, Fidelity, Grayscale, and others have filed applications, but it remains uncertain which will be the first to launch once approvals are granted.