Report: Exchanges approached by SEC for updates on applications for Ether ETFs

The Securities and Exchange Commission (SEC) of the United States has reportedly contacted major U.S. exchanges to request updates to their applications for listing and trading spot Ether (ETH) exchange-traded funds (ETFs) from asset managers. This move comes ahead of a regulatory deadline on May 23, when the SEC must decide whether to approve or deny VanEck’s spot Ether ETF application. The request for updates from the exchanges could be seen as a positive sign of potential regulatory approval. Analysts have also increased their odds of approval for a spot ETF tied to Ether from 25% to 75%, based on insider information. If VanEck’s application is approved, it could pave the way for approvals of spot Ether ETFs from other asset managers such as ARK 21Shares, BlackRock, Fidelity, Hashdex, and Invesco Galaxy. Fidelity has already made amendments to its filing to meet potential approval requirements. While there were concerns that the SEC may deny spot Ether ETF applications, the approval of investment vehicles tied to ETH futures and spot Bitcoin ETFs in previous months indicates a possibility of approval.