Update: Ethereum Spot ETF’s S-1 filing to be approved this summer
The U.S. Securities and Exchange Commission (SEC) approved the “19b-4 form” (exchange rule change) for the Ethereum Spot ETF on May 23, marking a significant milestone for Ethereum. The approval of another crucial document, the “S-1 registration statement” form, is now the most anticipated development in the market.
During a Senate Banking Committee hearing on June 13, regarding President Joe Biden’s 2025 budget request to the SEC, SEC Chairman Gary Gensler stated that he expects the committee to approve the asset management company’s S-1 registration statement “at some point this summer.”
However, despite the “semi-approval” of the Ethereum Spot ETF, Gensler remains uncertain about whether Ethereum should be classified as a commodity, and he did not provide a clear answer.
The SEC stated that after approving the “19b-4 form,” it will still take some time for the final approval of the Ethereum Spot ETF. Eric Balchunas, an ETF analyst at Bloomberg, stated that it is possible for Ethereum products to be launched on U.S. exchanges in June, but he conservatively estimated that the SEC will obtain final approval before July 4.
“July is a complete guess, in both the past and present,” said ETF analyst James Seyffart on X, “but I am confident in saying that the Ethereum ETF will be launched at some point this summer, which is somewhat expected.”
Update: BlackRock files S-1 form
The U.S. Securities and Exchange Commission (SEC) approved the “19b-4 form” (exchange rule change) for the Ethereum Spot ETF on May 23, marking a significant milestone for Ethereum. Recently, financial giant BlackRock updated its S-1 form with the SEC, which is seen as a good sign for the Ethereum Spot ETF application.
James Seyffart, an ETF analyst at Bloomberg, stated that BlackRock’s update of the S-1 form represents efforts by the issuer and the SEC to launch the Ethereum Spot ETF.
Eric Balchunas, an analyst at Bloomberg, also expressed optimism on Twitter, stating, “This is a good sign!” and believes that it is reasonable to expect the launch of the Ethereum ETF by the end of June, but he personally conservatively estimates that the Ethereum ETF will officially launch on July 4.
Original article from May 28, 2024:
What will happen after the approval of the Ethereum Spot ETF?
The U.S. Securities and Exchange Commission (SEC) approved the “19b-4 form” (exchange rule change) for the Ethereum Spot ETF on May 23. Applicants include financial giants BlackRock, Fidelity, Grayscale, and others, and the ETF is only a paper document away from being officially listed.
This move not only enhances the normalization of cryptocurrencies but may also have a profound impact on the entire financial market.
Currently, most issuers of Ethereum Spot ETFs have had their “19b-4 forms” approved, but they still need the SEC’s signature and the completion of the “S-1 registration statement” before the spot Ethereum ETF can officially begin trading. After the approval of the Ethereum ETF, the changes it will bring to the market become the most concerned issue for the market and the community.
Further reading: [The second major milestone in the cryptocurrency industry this year: SEC “semi-approves” Ethereum Spot ETF, what does it represent?][1]
Eric Balchunas, an analyst at Bloomberg, believes that the Ethereum Spot ETF will exhibit market behavior similar to that of the Bitcoin Spot ETF, but the trading volume may be smaller. Balchunas describes this as a “horse race” and predicts that the ETF’s assets under management may reach approximately $1 billion in the initial stages of its launch.
At the same time, Matthew Sigel, Director of Digital Asset Research at VanEck, stated that they are working to create a “very strong investment case” for Ethereum. He emphasized that compared to Bitcoin, Ethereum has inherent technological advantages, especially its rich decentralized application (DApp) ecosystem, which is an attractive point that technology and stock investors cannot ignore.
With countries such as Hong Kong starting to approve Bitcoin and Ethereum Spot ETFs, the U.S.’s move may inspire other jurisdictions to explore similar products. Yat Siu, Co-founder of Animoca Brands, mentioned that with the progress in the U.S., it can be foreseen that countries such as the UK, Singapore, Japan, and the Middle East may also consider launching their spot ETFs. He stated that the U.S. does not want to lag behind other countries in the field of cryptocurrency and Web3, which may further promote innovation and development in this field.
What’s next for Ethereum?
After the approval of the Ethereum ETF, it may take several weeks to months before it can be officially listed and open for trading. According to The Block, the expected inflow after listing is estimated to be around 15-30% of what the Bitcoin ETF witnessed.
According to data from The Block, the price of Ethereum has soared since the approval of the ETF, surging above $3,963, and currently hovering around $3,855, with an increase of approximately 4.7% in the past week.
The future price trend and development of Ethereum may also be influenced by the upcoming U.S. presidential elections.
