The US Securities and Exchange Commission (SEC) has postponed its decision on the Hashdex Nasdaq Ethereum ETF application until 2024.
The delay comes on the heels of another recent postponement. As U.Today reported, the SEC also deferred Hashdex’s attempted conversion of the Bitcoin ETF.
The race for an Ethereum spot ETF
Surprisingly, there is a notable rush to launch an Ethereum spot ETF. Chief executive BlackRock has recently entered the fray by officially filing for an Ethereum spot ETF with the formidable regulator.
The product, which aims to mirror the price performance of Ether, comes after BlackRock unveiled a Bitcoin spot ETF in June.
This development indicates that investment giants like BlackRock are becoming increasingly comfortable with the second-largest cryptocurrency despite its murky regulatory status.
In several cases, SEC Chairman Gensler has refrained from categorically stating whether Ether is considered a security under US law.
For example, during a congressional hearing in April, Gensler did not give a direct answer when asked about the status of Ether as a security. In previous statements, Gensler had suggested that Ether could be considered a security, especially after Ethereum’s transition to a proof-of-stake consensus mechanism.
SEC approval expectations in 2024
James Seyffart, Bloomberg Intelligence analyst, believe Ethereum has effectively achieved commodity status, although the SEC has not formally recognized it as such.
Despite the lack of explicit recognition from Gensler and his agency, Seyffart maintains that Bitcoin’s rival deserves the same attention as the king of cryptocurrencies.
He, along with other industry experts, anticipates that the SEC will likely treat Ethereum more like Bitcoin and approve Ethereum spot ETFs in 2024. This optimistic prediction is based on the regulator’s past actions and the growing recognition of Ethereum in the financial world.
