ARK Invest and 21Shares Seek To A Spot Ethereum ETF After SEC Delays
The SEC is presently reviewing the two companies' proposals to list two Ether futures exchange-traded funds as well as a spot Bitcoin ETF.
The company is suggesting a financial instrument with a stake in Ether as the United States SEC (Securities and Exchange Commission) delays making an announcement on ARK Investment Management's spot Bitcoin immigration-traded funds (ETF). The SEC will examine a number of spot crypto ETFs, including the call for action by ARK Invest and 21Shares. Many companies appear to be optimistic about regulatory approval after asset manager Grayscale won an appeal compelling the SEC to change its mind permitting its Bitcoin Trust to turn into a Bitcoin ETF.
The SEC indicated on August 31 that it would postpone deciding if it would approve or refuse spot Bitcoin ETF petitions form seven companies, including BlackRock, the largest in the world, for two days after the decision on Grayscale's ETF. The ARK Invest and 21Shares spot Bitcoin ETF was not affected by the postponement because its following deadline for permission, denial, or delay is not until November 11.
Crypto Market Dramatically Underestimates Spotted Bitcoin ETFs' Bullishness
The current version of the Bitcoin investment vehicle from ARK Invest and 21Shares is the companies' third attempt since 2021 to introduce a spot Bitcoin ETF. The companies also sought the listing of a pair of ETH futures ETFs in August. The SEC has been more successful in approving ETFs tied to cryptocurrency futures, with numerous approvals occurring in 2021. Following the announcement of the ETF application, the selling rate of ETH slightly increased. Cointelegraph Markets Pro data show that the price of ETH increased by almost 3% over $1,623 to $1,669 before dropping down to roughly $1,620 to $1,640.
The experts explained that even though Bitcoin has all but given up its gains following Grayscale's litigation defeat by the Securities and Exchange Commission, a decision in favor of it would attract enormous inflows and dramatically raise the price pressure on it. It concluded that the risk of a prospective spot ETF refusal was expected to be negligible and that Bitcoin pricing would continue as usual.
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