JPMorgan Predicts SEC Approval of Spot Ethereum ETFs

The U.S. Securities and Exchange Commission (SEC) is expected to eventually approve spot ETFs based on the second-largest cryptocurrency by market capitalization. This was stated by JPMorgan analyst Nikolaos Panigirtzoglou in a conversation with The Block.

“If there is no approval of spot ETH-ETFs by May, we anticipate a legal process. It is most likely that the SEC will eventually lose it (as it did in cases with Grayscale and Ripple last year). This means that the SEC will ultimately approve spot ETH-ETFs (but not before May this year),” he stated.

In February, JPMorgan analysts estimated a 50% chance of spot Ethereum-ETFs being registered. Panigirtzoglou maintained the same odds in May.

In March, Bloomberg analyst Eric Balchunas halved the probability of spot ETH-ETF approval in May—from 70% to 35%. In the same month, specialists from market maker GSR estimated the chances at 20%.

In April, the SEC requested public comments on potential exchange-traded funds based on the second-largest cryptocurrency by market capitalization from Grayscale, Fidelity, and Bitwise.

Earlier, ConsenSys, the company behind the MetaMask crypto wallet, sent a letter to the Commission urging the approval of spot Ethereum-ETFs.