The wait for spot Ether exchange-traded funds (ETFs) may be nearing its end. According to industry sources and market analysts, the US Securities and Exchange Commission (SEC) has granted preliminary approval to several asset managers, paving the way for a potential launch as early as next Tuesday, July 23rd.
A report by Reuters on July 15th cited three unnamed sources familiar with the situation who claim the SEC has given the green light to at least three asset managers for their spot Ether ETF applications. These sources named BlackRock, Franklin Templeton, and VanEck as the frontrunners for a next-week launch.
The report further suggests that all eight applicants – including Fidelity, ARK 21Shares, Grayscale, Bitwise, and Invesco Galaxy – could see their Ether ETFs begin trading simultaneously, mirroring the SEC’s approach with spot Bitcoin ETFs earlier this year.
Bloomberg ETF analyst Eric Balchunas adds weight to the speculation. He reports that the SEC has provided final instructions to asset managers, requiring them to submit their final S-1 filings by July 16th. These filings typically detail the structure and operational aspects of the ETF. Balchunas also highlights the need for applicants to specify the fees associated with their spot Ether ETFs within the amended S-1 documents.
Following this step, Balchunas predicts that the SEC will likely grant official approval to the S-1 filings on Monday, July 22nd, just after the market closes. This paves the way for a potential launch of spot Ether ETFs on Tuesday, July 23rd.
The reports and analysis align with recent comments from Katherine Dowling, Chief Compliance Officer at Bitwise. In early July, Dowling observed a significant decrease in the number of back-and-forth revisions between issuers and the SEC regarding the amended S-1 filings. “This suggests we are nearing the finish line for launch,” she stated.
Matt Hougan, Chief Investment Officer at Bitwise, speculates that these spot Ether ETFs could attract up to $15 billion in inflows within the first 18 months of trading. This figure roughly mirrors the inflows observed by spot Bitcoin ETFs since their launch six months ago.
If approved, these spot Ether ETFs are expected to be listed on major exchanges like the Nasdaq, New York Stock Exchange (NYSE), and the Chicago Board Options Exchange (CBOE). The current price of Ether (ETH) sits at $3,484, reflecting a 6.7% increase over the past 24 hours.
