According to Bloomberg ETF analyst Eric Balchunas, Spot Ethereum exchange-traded funds (ETFs) could potentially start trading in the US as early as July 2.
Potential launch date brought forward
Balchunas said in a post on X that the Securities and Exchange Commission (SEC) has provided "pretty light commentary, nothing major" on the S-1 filing applications of applicants for Spot Ethereum ETFs, and asked them to send them back within the week. He believes there's "a decent chance" the SEC will declare them effective the following week, before the July 4 holiday weekend.
Gary Gensler's comments
SEC Chairman Gary Gensler gave a broader timeframe for the potential approval of Spot Ethereum ETFs, indicating that this could happen within the next three months, by the end of September. However, a week earlier, Gensler had indicated that the speed of approval of Ethereum ETFs would depend on how quickly issuers could respond to SEC comments. This temporal flexibility is intended to enable issuers to provide complete and accurate information.
Ethereum valuation challenges
Some investors aren't as confident as they are with Bitcoin Spot ETFs. Stephen Richardson, Managing Director of Capital Markets at Fireblocks, said that Ethereum Spot ETFs won't see the same first-day influx as Bitcoin Spot ETFs, as the asset's use cases are much harder to assess. This uncertainty is due to the complexity of the Ethereum ecosystem and the diversity of its potential applications.
