Hester Peirce, affectionately known as “Crypto Mom” for her crypto-friendly stance, made the announcement amidst the growing anticipation of regulators granting approval for an Ethereum ETF. Peirce cited a court ruling that directed the SEC to reconsider Grayscale’s proposal for a Bitcoin spot ETF. It was after this court decision that Bitcoin ETFs were given the green light in the United States.
Peirce acknowledged the significance of the Grayscale ruling, emphasizing that each application for a cryptocurrency ETF is unique and contains its own set of facts and circumstances. Consequently, the SEC aims to ensure that any exchange-traded product adheres to disclosure and operational regulations.
“We no longer require the intervention of the courts to recognize the arbitrary and unpredictable nature of our approach towards these investment vehicles. Having heard in court that we veered off course, I believe this lesson will stay with us and guide us in the right direction,” Peirce stated.
Numerous prominent financial institutions, including BlackRock, VanEck, ARK 21Shares, Fidelity, Invesco Galaxy, Grayscale, and Hashdex, have already submitted applications to the SEC to launch Ethereum spot ETFs. The SEC is obligated to make decisions on these applications within specified timeframes. Specifically, VanEck, ARK 21Shares, and Hashdex will receive their decisions by the end of May, Grayscale by June 18, and Invesco by July 5. The decisions for Fidelity and BlackRock’s applications are slated for August 3 and August 7, respectively.
Eric Balchunas, a senior ETF analyst at Bloomberg, commended the prospects of an Ether ETF receiving approval.