The US Securities and Exchange Commission (SEC) has approved applications for Ethereum spot ETFs to trade on stock exchanges on Thursday. This follows the successful launch of Bitcoin spot ETFs in January.
While the news is positive, investors will need to wait a bit longer. Today’s approval only addresses one step in the process. The ETF issuers still need to complete registration statements before the funds can officially launch. Experts predict a wait of weeks or even months.
The SEC’s sudden shift in stance comes after a period of uncertainty. Earlier this week, analysts placed the odds of approval at just 25%. However, after increased engagement with issuers, those odds jumped to 75%.
The potential impact of Ethereum ETFs is significant. Bitcoin ETFs have already attracted over $13 billion in investments, making them record-breaking launches. A similar surge is expected for Ethereum ETFs, considering its position as the second-largest cryptocurrency.
This news coincides with a wave of pro-crypto legislation in the U.S. Congress. Both houses recently passed measures aimed at creating a clearer regulatory framework for cryptocurrencies. This bipartisan support suggests a more welcoming environment for the industry.
