Bitrabo Editorial
The US Securities and Exchange Commission (SEC) has given partial approval to Ethereum ETF filings by prominent asset managers like BlackRock and Grayscale. SEC Chairman Gary Gensler suggests that full approval for these ETFs may come by the end of summer, bringing clarity to eager investors.
Ethereum ETFs Potential Approval Revealed During Senate Hearing
During a Senate Banking Committee hearing, Chair Gensler responded to queries indicating a potential approval for spot Ethereum ETFs by the end of the summer. This timeline aligns with September 22, possibly leading to approval just before the November US elections, where cryptocurrency is a significant issue.
The hearing also discussed regulatory challenges in the crypto industry, including the effectiveness of regulating crypto assets by the Commodity Futures Trading Commission (CFTC) and the need for regulatory clarity emphasized by Senator Hagerty.
Gensler differentiated between unlawful activities, personal preferences, and regulatory clarity, referencing the SEC’s approval of futures Ethereum ETFs in the past. However, ambiguity remains around the classification of Ethereum as a commodity and the jurisdictional dispute between the SEC and CFTC.
Clash Over Crypto Classification Between CFTC and SEC
The CFTC has classified Ethereum and other cryptocurrencies as commodities, contrary to the SEC’s position, which only considers Bitcoin a commodity. The ongoing dispute highlights the need for clarity and resolution in regulating cryptocurrencies for a well-functioning industry.
Current trading sees ETH at $3,450, down 4% in 24 hours, with Bitcoin also declining to $66,900, down over 3% in the same period.
Featured image from DALL-E, chart from TradingView.com