SEC Approves Spot Ethereum ETFs, Set to Begin Trading on 23 July 2024
The SEC has given the green light for Spot Ethereum ETFs to start trading tomorrow, July 23. U.S. regulators have finalized the S1 forms for ETFs that hold Ethereum’s ether, paving the way for these ETFs to be available right from the opening bell.
This milestone makes Ether ETFs the second crypto-based ETF in the U.S., following in the footsteps of Bitcoin’s ETF, which launched in January. The market has high hopes that Ethereum can replicate Bitcoin’s success, which saw BTC hit an all-time high of $73,000 just three months post-launch.
The approval of Ether ETFs marks the end of a lengthy approval process by the SEC, offering investors a fresh crypto asset to diversify their portfolios. Ether ETF applications initially received 19b-4 form approvals back in May, but the final document reviews faced several delays. Now, the anticipation builds as we are less than a day away from the first Spot Ethereum ETF trades.
Notably, the SEC’s approval coincides with the biggest Bitcoin conference of the year, shifting some of the spotlight to Ethereum as it gears up for its ETF debut. Currently, BTC and ETH are the only cryptocurrencies with ETFs in the U.S., but the market is brimming with anticipation for more crypto ETFs to come. Applications for Solana (SOL)-based ETFs are already in progress, and other cryptocurrencies like XRP are also expected to join the ETF scene.
Cboe will be the primary exchange for the initial trading of Ether ETFs, with other exchanges likely to follow soon after. The debut of Ethereum ETFs is expected to boost the entire cryptocurrency market, echoing the surge that followed the approval of Bitcoin ETFs earlier this year.