Key Takeaways
- The SEC has approved a rule change allowing eight spot Ether ETFs to be listed and traded.
- Trading won't begin immediately as the SEC must review individual applications from asset managers.
- This approval marks a significant milestone for the crypto industry following January's bitcoin ETF approval.
- Ether's price has risen 60% YTD amid anticipation of ETF approval.
SEC Authorization Details
The Securities and Exchange Commission (SEC) has authorized the listing of eight spot Ether exchange-traded funds:
NYSE Arca will list:
- Grayscale Ethereum Trust
- Bitwise Ethereum ETF
Nasdaq will list:
- iShares Ethereum Trust
CBOE BZX will list:
- VanEck Ethereum Trust
- ARK 21Shares Ethereum ETF
- Invesco Galaxy Ethereum ETF
- Fidelity Ethereum Fund
- Franklin Ethereum ETF
When Will Trading Begin?
While approved for listing, these ETFs cannot begin trading immediately. The SEC must complete its review process for each individual application, which typically takes several weeks. 👉 Learn more about ETF trading timelines
VanEck has already submitted its S-1 filing, indicating preparation for launch. Some analysts predict this approval process may be accelerated compared to normal timelines.
Overcoming Regulatory Hurdles
The SEC's approval comes despite previous concerns about:
- Whether ether qualifies as a security
- Issues surrounding staking mechanisms
These concerns were addressed when ETF issuers removed staking provisions from their applications. The approval suggests the SEC currently views ether as a commodity rather than a security.
Market and Political Influences
Several factors contributed to the SEC's decision:
- The White House's moderated stance on cryptocurrency regulation
- Pressure from a bipartisan group of lawmakers
- Strong market demand following bitcoin ETF approvals
Ether's price has benefited from ETF anticipation, gaining 60% year-to-date. At press time, ETH was up nearly 2% following the SEC announcement.
FAQ Section
Q: When can I start trading spot Ether ETFs?
A: While approved for listing, trading will likely begin in several weeks after final SEC approvals.
Q: How many Ether ETFs were approved?
A: The SEC approved eight different spot Ether ETFs from various asset managers.
Q: Why did the SEC approve these ETFs after initial reluctance?
A: Changing political climate, removal of staking provisions, and market demand all contributed to the approval.
Q: What does this mean for ether's regulatory status?
A: The approval suggests the SEC currently views ether as a commodity rather than a security.
Q: How has the market reacted?
A: ETH price is up 60% YTD and gained nearly 2% on approval news. 👉 Track ETH price movements
Q: Will these ETFs include staking rewards?
A: No, all approved applications removed staking provisions to gain SEC approval.