The review of applications for spot ETFs based on Ethereum will take “some time,” according to Gary Gensler, the head of the SEC.
?NEW: @SECGov Chairman @GaryGensler says the next step in the $ETH ETF approvals “will take some time,” possibly indicating a potential slow-walk of the S-1 approval process. https://t.co/iwfN9vvmt8
— Eleanor Terrett (@EleanorTerrett) June 5, 2024
According to FOX Business journalist Eleanor Terrett, the official hinted at a possible delay by the Commission in the S-1 application approval process. This step is necessary for launching trading products following the approval of 19b-4 applications.
In an interview, Gensler emphasized that crypto firms engage in activities not permitted for traditional exchanges by law.
The official warned that CEX disclosing risk information are not immune from the agency’s enforcement actions. The SEC will take this step if it detects signs of market manipulation, he noted.
The Commission’s chairman lamented that most cryptocurrency companies still do not publish data about their operations.
Analysts at Bernstein predicted a rise in Ethereum to $6600 if the ETF is approved. According to K33 Research forecasts, the instruments could attract up to $4.8 billion in the first five months of trading.
Previously, influenced by news about exchange-traded funds, VanEck raised its Ethereum forecast to $22,000 by 2030.