As a researcher with extensive experience in the ETF and cryptocurrency markets, I’m thrilled to see the recent flurry of activity surrounding Ethereum ETF filings. However, it’s important to maintain a cautious optimism as we navigate through this process.


“James Seyffart, an ETF analyst at Bloomberg, declared ‘It’s happening!’ on May 22nd. He mentioned that at least five prospective ETH ETF applicants had recently submitted their modified 19b-4 forms to the Securities and Exchange Commission.”

The following investment firms – Fidelity, VanEck, Invesco Galaxy, Ark 21Shares, and Franklin – each submitted amendments to the Chicago Board Options Exchange (CBOE) for consideration.

Grayscale filed an updated 19b-4 for their Ethereum Mini Trust earlier in the day.

UPDATE: It’s happening. We have at least 5 of the potential #Ethereum ETF issuers that have submitted their Amended 19b-4’s in the last ~25 min.
Fidelity, VanEck, Invesco/Galaxy, Ark/21Shares, & Franklin all submitted via CBOE.

— James Seyffart (@JSeyff) May 21, 2024

Not So Fast

As an analyst, I’m here to provide you with valuable insights. Following the SEC’s recent advisory, there’s been a surge of actions taking place. This advisory pertains to the submission of revised 19b-4 forms regarding Ethereum Spot Exchange-Traded Products (ETPs), which both ETF issuers and exchanges intending to propose rule changes or introduce new products are required to file by May 21, 2023.

May 23 is the first final deadline for SEC approval or denial for the VanEck spot Ethereum ETF.

Seyffart acknowledged that we’re not necessarily close to a launch yet, but emphasized that recent rumors, speculation, and chatter have been on target based on these filings.

As an analyst, I would explain it this way: The SEC requires approval for each 19b-4 application prior to greenlighting the S-1 filings. This process could potentially extend the timeline for the ETFs’ launch by several weeks or more.

“Contrary to common beliefs, Ethereum ETF approvals don’t automatically lead to immediate launches. Instead, there could be a waiting period of several days, possibly even weeks or months, before the actual launch takes place.”

A Securities and Exchange Commission (SEC) filing referred to as an S-1 serves as the first registration statement for newly issued securities available to the general public. This document contains comprehensive details about the company’s business activities, offerings, and pertinent financial information, facilitating informed decision-making for both the SEC and potential investors.

The most significant proposed changes concerned eliminating Ethereum staking-related elements from the ETF applications, a move the SEC has previously disapproved of in similar products.

As a crypto investor, I’ve noticed that some issuers have proposed staking their Ethereum (ETH) in investment funds to potentially enhance returns for investors. However, regulatory bodies continue to challenge this idea, insisting that Ether is still classified as a security.

Seyffart maintained approval odds at 75% following an upgrade from 25% earlier this week.

“Also — Yes — our approval odds are still at 75%. Not that it even means anything anymore haha.”

During this time, Nate Geraci, president of ETF Store, expressed his belief that the SEC’s late change of heart was not influenced by political pressures.

ETH Price Outlook

On May 21st, the price of Ethereum reached a peak of $3,800 due to increasing optimism surrounding the upcoming Ethereum-based Exchange Traded Funds (ETFs). The digital asset has continued to hold onto these gains and was priced at $3,750 as of this writing.

ETH has made a whopping 31% over the past week, most of that coming in a single day.

During the Asian trading session on Wednesday morning, Bitcoin failed to hold onto its gains and fell below the $70,000 mark.

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2024-05-22 08:38