After the U.S. Securities and Exchange Commission (SEC) officially approved the listing of a Bitcoin spot ETF this January and subsequently approved the 19b-4 trading rule changes for eight Ethereum spot ETFs on May 24, the market is keenly awaiting the SEC's approval of another critical S-1 registration statement.
SEC Chairman: Ethereum Spot ETF S-1 Filing to Be Approved This Summer
It is noteworthy that Fox reporter Eleanor Terrett stated last night that when discussing with Senator Bill Hagerty the timing of the S-1 filing approval, Gensler indicated, "My expectation is sometime this summer..."
In response, Hagerty said, "If you are telling me that these applications will be approved before the end of this summer, I appreciate it."
Gary Gensler Refuses to Clarify Whether ETH Is a Security
Additionally, although the 19b-4 for the Ethereum spot ETF has been approved, SEC Chairman Gary Gensler, when asked during a budget hearing last night whether Ethereum is classified as a commodity, still did not give a definitive answer, maintaining the SEC's longstanding ambiguous stance on the matter.
CFTC's Regulatory Capability Inferior to SEC Meanwhile, another regulatory body, the Commodity Futures Trading Commission (CFTC), has previously clearly stated through its Chairman Rostin Behnam that:
ETH is a commodity...
Thus, when Senator Durbin asked Gensler whether he believes the CFTC has sufficient resources to regulate cryptocurrencies, Gensler responded that the CFTC's regulatory capabilities are not on par with the SEC's:
"It depends on what resources they receive; the CFTC has not established an information disclosure system like the SEC."
Finally, when Senator Hagerty reminded and urged Gensler to pay attention to the regulatory clarity in the crypto industry, pointing out the SEC still has many regulatory uncertainties and lacks clarity, Gensler retorted:
"Violating the law and disliking the law are different things; this does not mean we lack clarity."
Bloomberg Analyst: Approval Might Be Delayed Beyond July 4
Regarding Eleanor Terrett's report, Bloomberg analyst Eric Balchunas, who closely follows ETF developments, responded at midnight today:
"What I’ve heard is that issuers are still waiting for a response from the Division of Corporation Finance regarding the S-1 filings submitted two weeks ago. The Division is now reviewing these documents for the first time (why? Probably due to a last-minute political 180-degree turn (remember, they were also surprised by this)).
It is unclear if they are prioritizing this work, but in any case, it might take some time. It may require delaying my July 4th projected approval date, but we will see how it goes."
Xu Lin
Finbold
Miyuki
Jasper