SEC Chair Gary Gensler anticipates that Spot ETH ETFs will potentially receive approval during this summer, as stated during his testimony before the Senate Appropriations Committee on Thursday morning. When questioned by Senator Bill Hagerty (R-TN) on the timeline for approving spot ETH ETFs, Gensler remarked, “I would envision sometime over the course of this summer.”
SEC Chair Gary Gensler Sets Spot ETH ETF Approval For This Summer
The SEC Chair acknowledged that “individual issuers still are working through the registration process,” but he asserted that the approval process for spot ETH ETFs was proceeding “smoothly.”
Senator Hagerty responded, “If you’re indicating to me that those applications will be approved by the end of the summer, then I appreciate that.”
Despite expressing optimism, Gensler was cautious about committing to a definitive approval date for the much-anticipated ETF. He emphasized that each applicant’s registration statements must include proper disclosures to become effective.
“It’s this disclosure-based regime we have at the SEC and I would say that largely the crypto field has been thumbing its nose at it and has been non-compliant,” he added.
Gensler Slams Crypto Sector’s Regulatory “Non-Compliance”
Applicants are currently awaiting a decision on their S-1 forms, which is the final registration requirement before approval by the federal regulator. This follows the authorization of spot ETH ETF hopefuls’ 19b-4 forms on May 23.
Nate Geraci, an ETF specialist, posted on X, saying, “Will be interested to see changes in next batch of amended S-1s. There can’t be *that* much work left to do.”
During his testimony to the Senate committee on his agency’s federal budget, Gensler, known for his regulatory stance on digital assets, did not shy away from his stringent reputation.
“This is a field that’s not serving the public well right now,” remarked the SEC Chair regarding the crypto industry.
Specifically, Gensler criticized the widespread practice of commingling financial activities at exchanges within the digital asset sector, which he argued works against customers’ best interests.
“It’s very common what happened at FTX, but that is not unique,” Gensler continued. “It’s happened in multiple places. There’s this commingling with intermediaries presenting themselves as exchanges, but they’re engaging in a range of activities that prioritize their own interests over those of their customers.”
Despite this scrutiny, the regulator’s oversight of the blockchain industry has not prevented exchange-traded products linked to crypto from proceeding through the federal agency’s authorization process.
