The U.S. Securities and Exchange Commission (SEC) has deferred its decision on two applications for the launch of Ethereum ETFs, namely the Hashdex Nasdaq Ethereum ETF and the Grayscale Ethereum Futures ETF, until May 2024. The Hashdex Nasdaq Ethereum ETF combines direct investments in ETH with exposure to Ethereum futures. Grayscale’s application is seen as a potential Trojan horse; if approved, the company could convert its private investment fund, Ethereum Trust, into a spot Ethereum ETF.
The SEC has announced additional scrutiny and solicitation of public comments regarding whether to approve the listing of these ETFs. According to Bloomberg analyst James Seyffart, the extension of the decision deadline for Ethereum ETFs was anticipated, especially given the regulator’s current focus on applications for spot Bitcoin ETFs. It is expected that such trusts for Bitcoin will emerge in the early part of the next year.
