SEC in Talks with Ether ETF Issuers; Approval May Be Imminent
Summary:
The U.S. Securities and Exchange Commission (SEC) is in talks with potential issuers of Ether-based exchange-traded funds (ETFs), according to reporter Eleanor Terrett. Terrett predicts further collaboration on S-1 forms in the weeks to come if the 19b-4 forms are approved. Bloomberg Senior ETF Analyst, Eric Balchunas, anticipates an announcement about Ether ETFs on May 23rd. This comes as the U.S. House of Representatives pass the FIT21 crypto bill and Ethereum co-founder Joseph Lubin predicts imminent Ether ETF approvals in the U.S.
The U.S. market regulator, the Securities and Exchange Commission (SEC), initiated talks with possible issuers of Ether-based exchange-traded funds (ETFs) on May 22. This has led to speculation that approval may be close at hand. According to reporter Eleanor Terrett, the dialogue between SEC employees and Ether ETF issuers pertained to S-1 forms, ending with consensus on additional steps needing to be taken.
An S-1 form is a registration document a company must submit to the SEC. It contains comprehensive information about the company and the securities it plans to offer. On the other hand, 19b-4 forms are regulatory documents submitted for approval to the SEC by self-regulatory organizations, such as stock exchanges or trading platforms, in order to introduce new rules or modify existing ones.
Afterwards, Terrett suggested that if the SEC approved the 19b-4 forms on May 23, they could continue working on the S-1s with Ether ETF issuers over the coming weeks or months. Eric Balchunas, a senior ETF analyst at Bloomberg, suggested the announcement might come on May 23, roughly the same timeframe as the spot Bitcoin ETF announcement.
The U.S. House of Representatives recently approved the FIT21 crypto bill, supported by 208 Republicans and 71 Democrats with 136 opposing. Consensys CEO Joseph Lubin expressed optimism about the forthcoming Ether ETF approvals. He predicted in an exclusive interview with Cointelegraph that Ether ETFs in the U.S. were practically inevitable. Lubin indicated that the 19b-4 applications filed by prominent companies like BlackRock were likely to get approval while the processing of the S-1s could take more time. The Ethereum co-founder also mentioned the increasing need for the SEC to adopt a neutral position as the U.S. presidential elections are drawing close.
Published At
5/23/2024 2:39:31 PM
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