Galaxy Digital’s head of asset management anticipates that spot Ether (ETH) exchange-traded funds (ETFs) will likely secure approval in “weeks” rather than days, although a decision is expected sometime in July.
“We’ve been through this process previously. It’s a systematic approach, part of regulatory protocol, and the SEC is actively involved,” Steve Kurz commented during an interview with Bloomberg TV on July 2.
Galaxy Digital is among eight asset managers whose proposed spot Ether ETFs are currently undergoing review by the United States Securities and Exchange Commission. The firm is collaborating with Invesco on its ETF initiative.
Kurz’s timeframe aligns closely with estimates from other ETF analysts. On June 28, Bloomberg’s ETF analyst Eric Balchunas revised his earlier prediction for ETF approvals in early July, citing the SEC’s extended review period for S-1 submissions.
A July 2 Bloomberg report, citing sources familiar with the matter, supported this view, revealing that Ether ETF applicants have until July 8 to update their paperwork to address minor issues. Subsequent rounds of filings could follow, according to these sources.
Eight bidders, including BlackRock, Fidelity, 21Shares, Grayscale, Franklin Templeton, VanEck, iShares, and Galaxy/Invesco, have already received clearance to list their shares on respective exchanges pending an approved S-1 filing for the Ethereum ETFs to commence trading.
In a July 2 research report, K33 Research suggested that Ether ETFs could become a “golden egg” for ETH’s valuation, potentially outpacing Bitcoin (BTC) in early trading weeks post-launch. Analysts Vetle Lunde and David Zimmerman expect Ether to experience initial volatility following ETF launch, similar to Bitcoin’s experience, with inflows into the funds likely boosting ETH’s price.
For further reading on ETFs’ impact on crypto markets and other related updates, refer to Hodler’s Digest, June 23-29.