SEC Postpones Decision on Ether Exchange-Traded Fund Proposed by Invesco and Galaxy Digital
Summary:
The U.S. Securities and Exchange Commission (SEC) has postponed its decision on approving or disapproving a spot Ether (ETH) exchange-traded fund (ETF) suggested by Invesco and Galaxy Digital. Instead of the original 45-day period ending December 23, 2023, the SEC has extended the timeframe to February 6, 2024. Current applications on spot crypto ETFs up for consideration is from firms including BlackRock, Hashdex, ARK 21Shares, VanEck, and Fidelity. Some asset management companies' representatives have recently met with SEC officials to discuss these ETF propositions.
The U.S. Securities and Exchange Commission (SEC) has postponed making a decision on the ratification or rejection of a spot Ether (ETH) exchange-traded fund (ETF), suggested by Invesco and Galaxy Digital. On December 13, the SEC declared it would extend the period for deciding on approval or disapproval of a proposed regulation alteration that would authorize the Cboe BZX Exchange to list and trade shares of the Invesco Galaxy Ethereum ETF. This proposed spot crypto investment tool is one of several under the commission's review, however so far, no ETF with direct exposure to Bitcoin (BTC) or other cryptocurrencies has seen approval.
The notification of this proposed regulation alteration was set to sit for 45 days and conclude on December 23, 2023, but the SEC has extended this timeframe. It continued to specify February 6, 2024, as the deadline by which the commission will either approve or disapprove, or initiate processes to decide on, the proposed regulation alteration.
Postponement of Invesco's and Galaxy's Ethereum ETF application by the SEC was premature, yet fully anticipated.
It was reported that Invesco and Galaxy Digital lodged the spot ETH ETF application in September, following the "reactivation" of its application for a spot Bitcoin ETF in June. Experts have forecasted that if the SEC were to approve a spot crypto ETF— whether it includes Bitcoin or Ether— it could concurrently greenlight funds from multiple companies.
Submissions on spot crypto ETFs from firms such as BlackRock, Hashdex, ARK 21Shares, VanEck, and Fidelity are imminent at the point of reporting. Documents disclosed by the SEC in the previous 30 days indicated that representatives of some asset management companies have met with SEC officials to talk about the ETF propositions.
Published At
12/14/2023 12:30:00 AM
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