Regulation
SEC Chairman Gary Gensler Suggests Approval of Ethereum ETFs Near Late Summer
Securities and Exchange Commission Chairman Gary Gensler has hinted that the S-1 Spot ETF will likely be approved by the end of summer. Gensler made this known during a budget hearing while speaking to senators earlier in the day. This information has sparked discussions within the crypto community, as its realization could mark a major shift in the market.
The update comes amid ongoing speculation about exactly when S-1 trading will launch. Besides the endorsement, Gensler also spoke about the effect of DeFi on anti-money laundering (AML) laws in the country. Meanwhile, the point of view Ethereum ETF Issuers are patiently waiting for the regulatory watchdog’s decision, but it appears the wait will soon be over according to a recent report.
Gensler hints at the end of summer
In an exciting development, Fox reporter Eleanor Terrett informed the public via a post on (formerly Twitter) that the SEC could approve Ether Spot ETF S-1 this summer, probably between June and September. If so, the launch will take place just in time for the presidential elections scheduled for November 5.
According to the post, Gensler had informed Senator Bill Hagerty, a member of the Senate Banking Committee, that the approval process for the ETF’s S-1 filing could be completed at the aforementioned time.
As a result, a spot Ethereum ETF can now go live in the United States, with regulatory approval for individual issuer applications still to be finalized. This notably follows the agency’s approval of the exchanges’ 19b-4 petitions to list the product in late May. Earlier this month, the President clarified that the responsiveness of individual issuers to comments received would determine the rating period and not the Commission.
Similar to the prior approval of Bitcoin spot ETFs, new ETH ETFs can be listed once these deposits are accepted, opening new markets for easily tradable funds that own real Ethereum. Recall that the SEC previously denied a spot Bitcoin ETF, but then changed its position after a federal court ruled that the Commission was not handling the matter properly.
Investors are closely watching ETH’s price trajectory as the approval of Spot ETF S-1 could propel its value to new highs. Previously, the ETH price impressively climbed over 20% after the approval of 19b-4 filings to trade above $3,700.
At the time of writing, Ethereum (ETH) is changing hands at $3,469, representing a 4.05% decline over the past 24 hours.