Bitwise, a well-known asset management firm, has recently updated its registration statement for a spot Ether exchange-traded fund (ETF), known as Form S-1. This revision includes the possibility of a substantial $100 million investment in the ETF once it begins trading.
In a filing made on June 18 with the United States Securities and Exchange Commission (SEC), Bitwise revealed that Pantera Capital Management, an investment firm, has expressed interest in acquiring up to $100 million worth of shares in the spot Ether (ETH) ETF. However, it is essential to note that these expressions of interest are not legally binding agreements to purchase, and the potential buyers may decide to acquire more, less, or even no shares at all.
Form S-1 is a crucial document that must be submitted to the SEC before a security can commence trading. It contains detailed information regarding financials, operations, and risk analysis of the ETF.
This filing is a significant step in the approval process required for the spot Ether ETFs to be traded publicly. SEC Chair Gary Gensler anticipates that this trading activity could commence “sometime over the course of this summer.”
On May 23, the SEC approved 19b-4 filings from eight different Ether ETF applicants. However, these approvals are conditional on the successful completion of the Form S-1 process before the ETFs can officially begin trading on U.S. exchanges.
In a related development, the SEC recently concluded its investigation into whether Ether should be classified as a security. According to a post by Ethereum developer Consensys on June 19, the Enforcement Division of the SEC confirmed that it is closing its inquiry into Ethereum 2.0. This decision means that the SEC will not pursue any charges alleging that the sales of ETH constitute securities transactions.
In summary, Bitwise’s updated filing represents a significant step towards the potential launch of the spot Ether ETF, while the resolution of the SEC’s investigation into Ether’s security status brings clarity and certainty to the cryptocurrency space.