Uniswap Receives SEC Notice; Low Retail Enthusiasm for Crypto; Doubts Over Ether ETF Approval
Summary:
The US Securities and Exchange Commission (SEC) has delivered a Wells notice to decentralized exchange Uniswap. Meanwhile, LunarCrush CEO Joe Vezzani stated that retail interest in cryptocurrency remains low in comparison to the previous bull run. Adding to these developments, Jan Van Eck, the CEO of VanEck, expressed doubts over his firm's spot Ether (ETH) exchange-traded fund (ETF) receiving approval in the US.
The U.S. Securities and Exchange Commission (SEC) has delivered a Wells notice to the decentralized exchange Uniswap. Despite the imminent cryptocurrency bull market, LunarCrush's CEO stated that consumer interest hasn't sharpened yet. On another note, the head of VanEck speculates that his company's Ether exchange-traded fund (ETF) will likely be knocked back.
Uniswap was handed a Wells notice by the SEC, with Marvin Ammori, Uniswap Labs' chief legal officer, confirming this news on April 10. Despite finding this development disheartening, Ammori wasn't caught off guard. He pointed out that if the SEC had jurisdiction over self-custodial, non-mediated products, they could direct their registration, but since it lacks that power, it offers no direction or clarity.
It's not the first time the SEC has dispatched Wells notices; previously, Uniswap Labs, the main developer of Uniswap, and other crypto firms like Coinbase and Binance received similar notifications.
Even as prices of Bitcoin and other cryptocurrencies ascend, LunarCrush CEO Joe Vezzani suggests consumer buy-in hasn't ramped up yet. Compared to the previous major bull run, general retail engagement and social interactions relating to cryptocurrencies remain noticeably muted. Filtering out spam and bot impact reveals that the crypto landscape could potentially witness a dip in social media engagement.
Vezzani further stipulates that significant upcoming events, such as the Bitcoin halving, aren’t likely to significantly sway retail engagement as newcomers often find such concepts challenging to understand, thereby deterring their interest.
According to Jan Van Eck, the CEO of financial services company VanEck, the spot Ether (ETH) ETF, despite being the first-ever ETF applied for, may not receive approval in the US. Previously, regulatory authorities would often provide feedback on its applications, but silence prevails in regards to Ethereum.
CoinShares CEO Jean-Marie Mognetti also dampened enthusiasm about possible approvals, expressing doubts about any approval occurring this year. The upcoming final verdict concerning VanEck's ETF from the SEC is on May 23, setting the stage for seven other ETF bids, for which Bloomberg ETF analyst Eric Balchunas gives a 35% approval chance.
This article doesn't offer investment advice or recommendations. Each investment or trading move involves risk, and readers should perform their own research before making a decision. Reporters Geraint Price, Sam Bourgi, and Felix Ng contributed to this report.
Published At
4/10/2024 10:54:09 PM
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