A critical development awaits enthusiasts and investors of the leading altcoin Ethereum. Ethereum futures exchange-traded funds (ETFs) are close to gaining approval in the United States, according to a Bloomberg analyst. Therefore, ETH investors can prepare for a “celebration”. The U.S. Securities and Exchange Commission (SEC) could greenlight multiple Ethereum futures ETFs as early as next week in an effort to accelerate their launches before the upcoming government shutdown, according to Bloomberg Intelligence analyst James Seyffart. Here are the details…
Good news for the leading altcoin: Is ETF approval coming?
This revelation came during a recent exchange among Bloomberg analysts. Eric Balchunas said the SEC wants to “accelerate the launch of Ether futures ETFs.” He also said that ETF approval would be on the agenda if Congress fails to provide funds for the new fiscal year. He claimed that Congress wanted to remove these from its agenda before the planned government shutdown on October 1. While both analysts expressed optimism, neither disclosed their sources of information. However, the possibility of Ethereum futures ETFs gaining approval has been a hot topic in the crypto world. Currently, around 15 ETF applications from nine companies are awaiting regulatory approval.
Looking like the SEC is gonna let a bunch #Ethereum futures ETFs go next week potentially https://t.co/YoBD1d1ay8
— James Seyffart (@JSeyff) September 28, 2023
Leading financial players such as VanEck, ProShares, Grayscale, Volatility Shares, Bitwise, Direxion and Roundhill are among those vying for a share of the Ethereum futures ETF market. Bloomberg analysts say these products are likely to launch in October. He noted that Valkyrie’s Bitcoin futures product (BTF) will be the first to be exposed to Ethereum, potentially as early as October 3.
Not all applications will receive approval
However, analysts said that not all proposed Ethereum futures ETFs may see the light of day. In other words, he also stated that it highlights the competitive environment in this field. It is worth noting that the expectation of Ethereum futures ETFs was enough to cause an 11% price increase in ETH in August, when such possibilities first appeared. As of now, Ethereum’s price has made a more modest gain of 1% on the day. It is hovering just above $1,600, reflecting the uncertainty and caution in the market. Interestingly, crypto futures products are being received with enthusiasm. However, it does not create the same level of expectation as its spot-based counterparts.
Bitcoin futures ETFs have been available in the United States since 2021. Ethereum’s entry into this space looks like the next important step for crypto ETFs in the country. We are approaching the end of September and the potential launch of Ethereum futures ETFs. At this point, all eyes are on the SEC’s decision that could pave the way for a new era of investment opportunities in the crypto world. Investors and crypto enthusiasts will closely follow the developments in the coming weeks.
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