Bitrabo Editorial
The Chief Communications Officer (CCO) of Bitwise Asset Management, Katherine Dowling, recently provided insights into the status of the firm’s spot Ethereum ETF application and the potential approval of new crypto-related products by the US Securities and Exchange Commission (SEC).
Ethereum ETF Launch Nearing Completion
Katherine Dowling revealed during an interview with Bloomberg Crypto that Bitwise’s spot Ethereum ETF application is making significant progress. She mentioned that the S-1 amendments are moving forward smoothly, indicating that the launch of the ETFs is approaching the final stages.
This development suggests that the launch is imminent, although an official date has not been confirmed yet. Dowling acknowledged the extended wait for the issuers and stated that the launch is expected to happen soon.
Referring to SEC Chair Gensler’s previous statement, she mentioned that the approval timing was expected to be around summer, though the exact date remains unspecified.
There has been speculation surrounding the potential approval date for Ethereum ETFs ever since SEC Chairman Gary Gensler indicated a summer approval timeline. Reports in late June hinted at a possible approval by July 4, leading to ongoing anticipation.
Regarding the demand for Ether-based investment products, Dowling expressed that ETH ETFs present a more intricate proposition compared to Bitcoin ETFs. While Ether’s market structure is distinctive, it may not be as straightforward to explain as Bitcoin’s digital gold narrative.
While Bitcoin maintains its leadership position, the spot ETH ETFs are poised for launch in the coming months, as per Dowling.
November Elections and Potential for Additional ETFs
Dowling discussed the likelihood of SEC approval for other crypto-based ETFs and noted positive interactions between issuers and the regulatory agency concerning new product possibilities.
She stated that the ongoing dialogue with the SEC regarding these products has been constructive and open to exploration.
Despite the optimism surrounding future ETF approvals, Dowling expressed doubt about the approval of any other crypto-related spot ETF following the Ethereum ETFs. She suggested that approval may hinge on a potential change in SEC leadership or face significant delays due to historical precedent.
Supporting this view, Bloomberg ETF analyst Eric Balchunas linked the approval prospects of a Solana spot ETF to the outcome of the November US presidential election. Recent developments related to the filing of a 19b-4 form for VanEck & 21Shares by the Chicago Board Options Exchange (CBOE) further hint at a timeline for Solana ETF approvals.
While the discussions continue, the crypto ETF landscape waits for critical decisions post-November, defining the path for future approvals based on the political environment.