Ether ETFs Filing Process Sees Abrupt Progress, Though Approval Not Guaranteed: Sources
Is the SEC Nearing Ether ETF Approval?
The U.S. Securities and Exchange Commission (SEC) has unexpectedly accelerated the process for exchanges to update their 19b-4 filings for ether ETFs, indicating potential progress towards approval. However, the final approval is still uncertain as the SEC has not yet approved the S-1 applications required for trading. The decision on VanEck's spot ether ETF is expected by May 23rd. This development comes amidst ongoing SEC investigations into whether ether is a security following Ethereum's transition to a proof-of-stake mechanism.
What specific updates are the U.S. Securities and Exchange Commission (SEC) requesting from exchanges regarding the 19b-4 filings for ether ETFs?
The U.S. Securities and Exchange Commission (SEC) is requesting exchanges to update their 19b-4 filings on an accelerated basis for the ether ETFs. This development suggests that the SEC may be considering the approval of these applications ahead of a key deadline. However, it's important to note that this doesn't guarantee the approval of the ETFs, as the would-be issuers also need their S-1 applications approved before the products can begin trading.
Besides the 19b-4 filings, what other applications must be approved before ether ETFs can begin trading, and what challenges are associated with these approvals?
Besides the 19b-4 filings, would-be issuers also need their S-1 applications approved before the ether ETFs can begin trading. The S-1 registration forms must be approved by the SEC, and it can take an indefinite amount of time for the approval of these documents, as there is no deadline tied to them. One challenge associated with these approvals is that the SEC has been investigating whether ether is a security. If ether is deemed to be a security by the SEC, it may be one reason for the regulator to reject the spot ether ETF applications.