VanEck investment CEO Jan van Eck said Spot Ethereum ETFs will "probably be rejected" in May by the U.S. Securities and Exchange Commission (SEC).
Awaiting SEC decision
VanEck was the first to file an application for the Spot Ethereum ETF in the US, along with Cathie Wood's ARK Invest, which is also awaiting a final decision on May 23 and 24 respectively. Van Eck noted that the regulators' comment process on their application has lasted weeks and now seems to be focusing on Ethereum.
Community pessimism
CoinShares CEO Jean-Marie Mognetti has also expressed pessimism, stating that he doesn't see anything being approved before the end of the year. The SEC's prolonged inaction towards a roster of seven Spot Ethereum ETF applications is also seen as a key reason why a May approval looks increasingly unlikely.
Odds of approval and Influx in the VanEck fund
Eric Balchunas, senior ETF analyst at Bloomberg reduced the odds of approval for a Spot Ethereum ETF to 35% in April, down from 70% in March. Balchunas reaffirmed his position and pointed out that pending applications include Grayscale, BlackRock and Fidelity. The VanEck Spot Bitcoin ETF, which is the fifth largest of the ten new funds launched (excluding Grayscale), has recorded an inflow of $461.7 million since its inception in mid-January.
Conclusion – Ethereum ETFs likely to be rejected in May
Jan van Eck, CEO of VanEck Investments, has stated that Spot Ethereum ETFs are likely to be rejected by the Securities and Exchange Commission (SEC) in May. The SEC 's prolonged inaction towards Spot Ethereum ETF applications, along with community feedback, indicates that approval in May looks increasingly unlikely.
