SEC Sets July 23 Launch for Spot Ethereum ETFs as Final Registrations Near

The Securities and Exchange Commission (SEC) has instructed asset managers to finalize and submit their registration statements for spot Ethereum ETFs by Wednesday, in anticipation of the products’ launch on July 23. This marks a significant step in the approval process, which has been notably slow since the SEC unexpectedly approved spot Ethereum ETFs in May. The approval allows investors to access Ethereum through traditional brokerage accounts, generating increasing anticipation.

Bloomberg ETF Analyst Eric Balchunas first reported the SEC’s recent communications on Monday. He noted on Twitter (now known as X) that the finalized registration statements must include each fund’s management fees. Balchunas mentioned that the SEC has asked issuers to request effectiveness on Monday after close, aiming for a Tuesday, July 23 launch, though this timeline could change due to potential last-minute issues.

Despite the SEC approving key filings for spot Ethereum ETFs in May, individual S-1 filings from eight asset managers, including BlackRock, Fidelity, and Grayscale, have yet to receive the green light. SEC Chair Gary Gensler has emphasized that the approval process relies on ETF hopefuls providing full disclosures to investors, though he assured that the process is "going smoothly."

Following the successful launch of spot Bitcoin ETFs in January, which have attracted approximately $15.8 billion in inflows this year, the introduction of spot Ethereum ETFs could be a significant event for Ethereum, the second-largest cryptocurrency by market capitalization. According to K33 Research, spot Ethereum ETFs could attract up to $4 billion in inflows within their first five months.

However, Ethereum’s price has experienced volatility during this approval process. After reaching a peak of around $4,000 in May, the price has recently climbed 15% over the past week to approximately $3,400, following a plunge to as low as $2,900 earlier this month.