SEC Delays Franklin Templeton Ether ETF Decision to June 11

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The SEC’s decision on Franklin Templeton’s request to launch a spot Ether ETF has been pushed back. The new deadline for a decision is now June 11, which is 45 days after the initial deadline mentioned in an SEC filing.

It’s possible that securities regulators may choose to approve a Ether ETF from the SEC as early as May, joining the ranks of other similar fund proposals. However, Bloomberg ETF expert James Seyffart has expressed doubts about the approval of these Ether ETF applications.

In January, the Securities and Exchange Commission (SEC) gave its approval for Bitcoin spot exchange-traded funds (ETFs), leading to significant changes in how cryptocurrencies are managed within finance. However, although there were anticipations of a similar ETF for Ether, its classification as a security could add complexity to the situation.

On Taylor’s third, the Securities and Exchange Commission (SEC) postponed Grayscale’s request to transform the Grayscale Ethereum Trust into an Ethereum spot ETF, which they submitted in October, alongside NYSE Arca. This decision came after the SEC approved the conversion of a bitcoin spot ETF for Grayscale and NYSE Arca earlier.

Previously, the SEC gave its approval for Templeton to launch a BTC spot ETF. As of late 2020, Templeton managed assets valued over $1.5 trillion. However, the reason for this delay is the regulatory bodies’ cautious approach when evaluating cryptocurrency investment products.

This news highlights the SEC’s cautious approach towards crypto ETFs, with Ether’s status as a potential security complicating approval. The delay suggests continued uncertainty in the regulatory landscape for crypto investments.

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2024-04-24 07:00