May 28, 2024

CEO VanEck and CoinShares doubted the imminent approval of an ETH-ETF.


The heads of companies that have received approval from the U.S. Securities and Exchange Commission (SEC) for a spot bitcoin ETF are pessimistic about the emergence of an Ethereum-based instrument. CNBC reports about it.

VanEck CEO Jan van Eck expects the agency to reject the launch of the product in May when the first deadline for decision-making approaches.

The process of [consideration] is such that regulatory agencies provide comments on your application, and this happened weeks before the launch of the bitcoin ETF. As for Ethereum now, the number of signals [from the SEC] is decreasing,” he noted.

CoinShares CEO Jean-Marie Mognetti is keeping an eye on Ethereum spot exchange-traded funds, but also has low expectations for approval of the product this year. According to him, it is quite difficult to get a green light from the SEC for a “specific product” with a Proof-of-Stake consensus algorithm.

He also noted that CoinShares entered the race for a bitcoin ETF only three months before approval and “managed to qualify at the last minute.” However, the company has not yet applied for an Ethereum-based exchange-traded fund.

Earlier, Bloomberg analyst Eric Balchunas halved the likelihood of approval for a spot ETH-ETF in May, from 70% to 35%. GSR market maker specialists also assessed the chances at 20%.

In March, U.S. senators called on the Commission not to approve additional cryptocurrency exchange-traded funds, citing the “huge risks” of these instruments.

It is worth noting that JPMorgan analyst Nikolaos Panigirtzoglou remains positive and believes that the regulator will eventually approve spot ETFs based on Ethereum.

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