In a significant development for cryptocurrency enthusiasts and investors, the United States Securities and Exchange Commission (SEC) has approved the listing and trading of spot Ether (ETH) ETFs. This decision follows closely on the heels of the earlier approval of spot Bitcoin ETFs, albeit with a notable difference in the approval process. Unlike the Bitcoin ETFs, which were passed by a vote among the SEC commissioners including SEC Chair Gary Gensler, the Ether ETFs were greenlit through the SEC’s Trading and Markets Division without a direct vote from Gensler.
Critics have raised concerns about the transparency of this process, suggesting that avoiding a direct vote could shield the commissioners from political repercussions. The approval of these Ether ETFs, managed by prominent firms like BlackRock and Fidelity, marks a pivotal moment, indicating possible SEC endorsement of ETH as a non-security, despite ongoing debates surrounding its status.
Following the announcement, the market reaction was muted, with Ether’s price experiencing a minor dip before making a modest recovery, suggesting that the news had been largely anticipated by the market.
