Grayscale Investments, a crypto asset management company, has submitted an amended 19b-4 for its Ethereum ETF application.
James Seyffart, a senior ETF analyst at Bloomberg, disclosed this information on X as the company had previously filed an update on May 21. The United States Securities and Exchange Commission (SEC) is anticipated to approve the Ethereum ETF proposal this week, which puts the entire digital currency ecosystem on edge.
Numerous indicators suggest that the approvals will make history, but Grayscale Investments is taking no chances, which could lead to unanticipated mistakes in its application.
Grayscale has deleted the “Staking” phrase from its more comprehensive Spot Ethereum ETF proposals. Thus, the amended filing depends on the company reaching a broad compromise.
The 19b-4 would receive the most attention because, in terms of approval sequence, it is the first form the SEC will approve before the launch. The regular updates might align with feedback from the market regulator if there was more open contact between the SEC and applicants for spot Ethereum ETFs.
Notably, one of the first companies to offer services for cryptocurrency investing is Grayscale, whose work helped to make spot Bitcoin ETFs available in January. Grayscale filed a lawsuit against the SEC after denying converting its Bitcoin Trust into a full-fledged spot ETF.
Although this was an uncommon instance of a cryptocurrency company suing the regulator, Grayscale achieved a significant victory. This victory established a precedent that assisted ten other issuers, including Bitwise and VanEck, in ending their ten-year wait.
Beginning of New Era
As the spot Ethereum ETF is expected to be approved, the digital currency will probably enter a new development phase. Even though discussions about whether or not it qualifies as a securities offering are still ongoing, the existence of an Ethereum ETF will alter the coin’s perspective.
In addition to ending the controversy surrounding the regulator’s support, it will aid in controlling the influx of institutional capital. The price of the virtual currency will surely be significantly impacted by this, much as how the Spot Bitcoin ETF helped drive BTC to its all-time high. As of this writing, Ethereum is trading at $3,741.41, up 0.26% over the previous day.
