Executives at companies planning to launch ethereum spot ETFs are divided over their approval, with Ophelia Snyder of 21Shares more optimistic than Katie Wood, CEO of Arc Invest. Wood recently voiced her concerns on a podcast, suggesting that ethereum ETFs are unlikely to be approved until May.
The SEC is expected to make a decision on the #ethereum #ETF application by May 23. A 240-day review period will follow.
Ark Invest and 21Shares previously co-founded the #BTC ETF, which now has $3 billion in assets, after Grayscale won a lawsuit against the SEC and found inconsistencies in the SEC's approach to bitcoin ETFs.
Despite the SEC's approval of ether futures ETFs, Mr. Snyder believes in the positive results of spot ether ETFs because of their similarities to bitcoin ETFs. Citing similarities to bitcoin ETFs, Mr. Snyder noted that the SEC's application process will be simplified because the ETFs have the same structure and disclosure.
Mr. Wood cited language regarding staking in applications as a potential problem for the SEC.
Staking is an important process for the Ethereum network, and the fact that it is mentioned in several filings indicates that a portion of ETF assets may be allocated. However, Bitwise's recent filing lacks this detail.
Analysts believe that staking could complicate the classification of etherium, potentially equating it to securities and posing a threat to the US Securities and Exchange Commission. However, Larry Fink, CEO of BlackRock, believes that the classification will not have a significant impact on the potential approval of ethereum ETFs, pointing to the possibility of further development even if ethereum is recognized as a security.
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