The United States Securities and Exchange Commission (SEC) is said to have given ‘preliminary approval’ to three asset manager firms, BlackRock, Franklin Templeton, and VanEck, for their spot Ether exchange-traded funds (ETFs). This news has fueled further speculation that these ETFs could start trading as early as July 23. According to industry insiders, getting final approval from the SEC will depend on the applicants submitting all necessary documents before the end of the week.
Other notable firms such as Fidelity, ARK 21Shares, Grayscale, Bitwise, and Invesco Galaxy are also vying to launch their Ether products in the coming week. The launch strategy for the eight spot Ether ETFs, according to sources, will be analogous to how the SEC had previously handled spot Bitcoin ETFs – launching simultaneously.
The SEC has recently provided final instructions to the asset manager firms preparing to initiate Ether ETFs. As per Bloomberg ETF analyst Eric Balcunhas, the commission has instructed issuers to submit their final S-1 filings by July 16. These filings need to state the fee attached to their spot Ether ETFs.
Balcunhas also anticipates that the SEC will officially green-light the S-1s on July 22 after the trading hours wraps up, indicating that Ether ETFs could officially start trading from July 23. Feedback on the first round of the S-1 filings was provided in late June by the SEC.
Katherine Dowling, chief compliance officer at Bitwise, suggests that fewer issues are being highlighted in the S-1 filings, hinting that the launch may be in the offing. Matt Hougan, Bitwise’s chief investment officer, conjectures that these spot Ether ETFs could possibly attract up to $15 billion in inflows during the first 18 months of trading.
Upon approval, these spot Ether ETFs are expected to be listed on prominent platforms like the Nasdaq, the New York Stock Exchange, and the Chicago Board Options Exchange.