U.S. SEC's Silence Raises Doubts on Approval of Ethereum
SEC's silence casts doubt on Ethereum ETF approvals, worrying industry leaders
Doubts are growing over the approval of Ethereum ETFs in the U.S., as the Securities and Exchange Commission (SEC) has not communicated with the ETF proponents, leading to increased skepticism in the industry.
Jan van Eck, CEO of VanEck, expressed concerns about the approval chances, particularly for May, during a CNBC interview, citing the absence of any feedback from the SEC.
Similarly, Bloomberg’s Senior ETF Analyst, Eric Balchunas, has lowered the likelihood of approval to just 35%, attributing his pessimism to the SEC’s continued silence on the matter.
This lack of engagement and feedback is especially concerning given that multiple applications for spot Ether ETFs are stalled without updates.
Aside from VanEck’s application, seven other proposals are awaiting responses from the SEC, with no signs of progress.
Jean-Marie Mognetti, CEO of CoinShares, echoed this sentiment, suggesting that approvals are unlikely to be available anytime soon.
This standstill contrasts sharply with the previous success of Bitcoin ETFs, which received the SEC’s approval and demonstrated Bitcoin's growing acceptance as a viable investment.
Despite the challenges faced by Ethereum ETFs, the cryptocurrency market continues to expand.
The lack of SEC interactions has troubled analysts like James Seyffart, who view this silence as a negative sign for the approval process.
Yet, the overall growth in the cryptocurrency market shows that there are still opportunities for investment and diversification within the digital asset space.
