Ethereum ETFs Get Preliminary SEC Nod Trading Set to Begin Tuesday

The United States Securities and Exchange Commission (SEC) has reportedly given “preliminary approval” to three asset managers for their spot Ether exchange-traded funds (ETFs). This has sparked speculation that the ETFs will begin trading as early as next Tuesday, July 23. 

According to Nate Graci, President at ETFStore, SEC approval is now contingent on applicants submitting final offering documents before the week’s end. Notably, BlackRock, Franklin Templeton, and VanEck are among the applicants.

According to a Reuters report on July 15, “three industry sources” revealed that the SEC’s approval is only awaiting the submission of final offering documents. These documents must be submitted by July 16, per instructions from Bloomberg ETF analyst Eric Balchunas. He noted that all applicants need to specify the fees attached to their spot Ether ETFs in their amended S-1 filings. Balchunas also anticipates that the SEC will officially approve the S-1 filings next Monday after trading hours, enabling the ETFs to commence trading on Tuesday.

The simultaneous launch of the eight spot Ether ETFs is anticipated, similar to the SEC’s handling of spot Bitcoin ETFs. In addition to BlackRock, Franklin Templeton, and VanEck, other firms such as Fidelity, ARK 21Shares, Grayscale, Bitwise, and Invesco Galaxy are also expected to launch their Ether products next week. This coordinated launch could significantly impact the cryptocurrency market.

As the SEC’s decision looms, Ethereum (ETH) has experienced notable price movements. Today, the price of Ethereum stands at $3,419.73, with a 24-hour trading volume of $16,766,782,273. 

This marks a 2.50% increase in the last 24 hours and an 11.35% increase over the past week. With a circulating supply of 120 million ETH, Ethereum’s market cap is valued at $410,923,120,932. Notably, Ethereum’s price increase of 11.40% in the last seven days outpaces the global cryptocurrency market, which has risen by 10.00%.

The SEC’s anticipated approval of spot Ether ETFs could further influence Ethereum’s price trajectory. The requirement for final S-1 filings by July 16 and the expected launch date of July 23 adds a layer of urgency and speculation within the market. As these ETFs begin trading, their impact on Ethereum’s price and the broader cryptocurrency market will be closely monitored.