Ethereum ETFs Expected to Commence Trading by July 23 Pending No Unforeseen Last-Minute Hurdles

The Securities and Exchange Commission (SEC) has preliminarily approved three exchange-traded funds (ETFs) based on Ethereum (CRYPTO: ETH), with trading potentially commencing as early as July 23, according to a recent report by Reuters citing industry sources. The final approval is contingent on the applicants submitting their final offering documents to the regulators by the week’s end. It is anticipated that all eight ETF applications will be greenlit simultaneously.

Among the asset management firms whose applications are likely to be given the green light by the SEC are BlackRock, VanEck, and Franklin Templeton. The report further notes that trading in these ETF products is slated to kick off the following day after approval.

Bloomberg ETF analyst Eric Balchunas disclosed that the SEC has reached out to applicants, requesting the submission of final S-1 documents, including fee information, by Wednesday of this week. Balchunas expressed optimism for a July 23 launch, barring any unforeseen last-minute issues.

The potential approval of Ethereum-based ETFs follows the debut of U.S. spot Bitcoin (CRYPTO: BTC) ETFs in January, marking a significant milestone in the cryptocurrency industry’s efforts to bring digital assets into the mainstream.

Gemini, a cryptocurrency exchange, foresees a promising future for Ethereum with the impending introduction of spot ETFs in the United States. A research report from Gemini predicts a surge in investor interest, with estimated net inflows reaching up to $5 billion within the initial six months of trading. This influx of capital could propel Ethereum’s value in U.S.-based spot ETFs to a range of $13-$15 billion by year-end.

As of the latest data, Ethereum is trading at $3,473.37, reflecting a 5.95% increase in the past 24 hours, as reported by Benzinga Pro.

The potential launch of Ethereum-based ETFs signifies a significant development in the cryptocurrency space, as it paves the way for broader adoption and investment opportunities in digital assets. The anticipation surrounding these ETFs underscores the growing interest and confidence in Ethereum and the broader cryptocurrency market.