Letter Urging SEC Approval of Spot Ether ETPs
A bipartisan group of House representatives recently penned a letter encouraging the US Securities and Exchange Commission (SEC) Chair Gary Gensler to approve spot Ether ETPs, following a successful FIT21 vote in the House. The letter signed by Reps. French Hill, Josh Gottheimer, Tom Emmer, Wiley Nickel, and Mike Flood highlighted the importance of demonstrating consistency in the application of standards and ensuring the protection of investors under federal securities law.
Quote: “We urge the Commission to maintain a consistent and equitable approach when reviewing upcoming applications for other digital asset-backed ETPs.”
Community Expectations and Regulatory Developments
Members of the crypto community have been eagerly anticipating the SEC’s approval of spot ETH ETPs, especially after the green light given to spot Bitcoin ETPs earlier this year. Analysts like James Seyffart from Bloomberg ETP have estimated a 75% likelihood of spot ETH ETP approval this week, given the impending decision deadlines for Van Eck and ARK.
Quote: “Approving Bitcoin ETPs demonstrates the Commission’s fidelity to its mission to protect investors as well as the need to embrace the modern financial market.”
The recent pushback from Congress against the SEC’s enforcement-heavy approach to crypto regulations, as evidenced by the overturning of SAB121, suggests a shifting landscape in favor of digital assets. The approval of the FIT21 Act and the potential delegation of regulatory power to the Commodity Futures Trading Commission signal a broader reevaluation of the SEC’s role in the crypto sphere.
