After the U.S. Securities and Exchange Commission (SEC) approved the 19b-4 trading rule change documents for eight Ethereum spot ETFs on May 24, the market is continuing to pay attention to when another key S-1 registration statement document will be listed. Will it be approved by the SEC?
When SEC Chairman Gensler attended the budget hearing this week, he said for the first time , " My vision is that sometime this summer... "
Bloomberg analyst: Ethereum spot ETF may be listed on 7/2
And just in the early hours of this morning, Bloomberg analyst Eric Balchunas, who has always closely followed ETF trends, wrote:
We have moved up the launch date of the Ethereum spot ETF to July 2. I heard that today the staff (SEC) provided comments on Form S-1 to the issuer. These comments are brief and have no major issues, and they require a response within a week.
There's a decent chance the ETFs will be formally approved next week and the matter resolved before the holiday weekend. Anything is possible, but this is our best guess right now.
Balchunas' previously expected launch date was July 4th. There has been little change so far, and it seems that progress is continuing.
Expert: Ethereum spot ETFs will have limited appeal to institutions unless they support staking
On the other hand, how much capital inflow the Ethereum spot ETF can attract after its listing is also the focus of the market. In this regard, cryptocurrency derivatives trader Gordon Grant recently commented :
Unless staking is supported, Ethereum spot ETFs will have limited appeal to institutional investors, and many may wait until staking is approved before allocating funds to the fund.
Grant added that unlike Bitcoin, directly holding ETH may provide better return performance for institutional investors than holding Ethereum spot ETFs. Therefore, he believes that before the launch of the pledged Ethereum spot ETF, institutional investors are more likely to choose on-chain solutions (that is, directly purchase Ethereum spot).
Organization cancels Ethereum staking plan
Dongzhong has reported many times before that the currently applied for Ethereum spot ETFs have canceled their pledge plans due to regulatory uncertainty and the SEC’s opposition to pledge activities.
Extended reading: SEC prohibits Ethereum spot ETF pledge? Grayscale, Fidelity, Ark... successively canceled ETH staking plans
Grant is not the first to make this statement. At the end of May, JPMorgan Chase issued a report stating that the lack of collateral for approved Ethereum spot ETFs would make these products less attractive as investment products. The report reads that because ETFs have removed staking from their application documents, this makes them less attractive than platforms that offer staking returns.
JPMorgan expects the Ethereum spot ETF to attract up to $3 billion in net inflows during the remainder of the year. If staking is allowed, this number could increase to as much as $6 billion.
On May 21, Standard Chartered Bank estimated that the Ethereum spot ETF would bring an inflow of 2.39 million to 9.15 million ETH within one year after approval, which is equivalent to approximately US$15 billion to US$45 billion. At the same time, the agency predicts that the price of Ethereum may reach $8,000 by the end of this year.
ETH V turns above $3,550
Perhaps inspired by the upcoming launch of the Ethereum spot ETF, ETH recovered the decline that once fell to $3,362 at 2 a.m. today, and rose by more than 3% within 30 minutes after Balchunas released the news. It is still rising in shock, as of press time It is temporarily trading at US$3,542, with a slight increase of 0.48% in the past 24 hours, which is stronger than the 1.2% decline of BTC in the past 24 hours.
