Gary Gensler, the Chair of the United States Securities and Exchange Commission (SEC), has hinted at potential delays in approving spot Ether (ETH) exchange-traded funds (ETFs) for asset managers. In an interview with CNBC on June 5, Gensler mentioned that the SEC’s review process for spot Ether ETFs could take some time, indicating a possible slowdown in approving S-1 registration statements.
While the SEC recently gave the green light to 19b-4 filings from various asset managers like VanEck, BlackRock, and Grayscale for spot Ether ETFs, the final approvals necessary for listing and trading on U.S. exchanges may still be months away. Gensler also noted that cryptocurrency firms were engaging in activities that traditional exchanges are not permitted to do, implying that the SEC’s enforcement stance is unlikely to change under his leadership.
Despite the SEC’s progress in approving spot Ether ETF applications, the commission has faced challenges, including legal disputes with companies like Ripple, Coinbase, and Binance. Additionally, a regional SEC office was shut down following a court order to pay a fine for “bad faith conduct.”
While anticipation for spot Ether ETFs continues to build, the SEC’s Trading and Markets Division approved these ETFs without a formal vote from the commissioners. Gensler is expected to remain as SEC Chair until 2026, and it is unclear whether a replacement will be nominated for outgoing Commissioner Caroline Crenshaw. In the meantime, the industry eagerly awaits the potential launch of spot Ether ETFs, with predictions pointing to a possible July 4 debut.
In related news, Ether ETFs are anticipated to hit the market in June, while Binance France sees a leadership change as CZ departs. For more updates on the latest news in the cryptocurrency world, check out Hodler’s Digest from May 26 to June 1.