SEC Chair Gary Gensler has indicated that Ethereum spot ETF S-1 filings are likely to be approved over the summer, sparking diverse reactions within the crypto community. During a Senate Appropriations Committee Hearing, Gensler addressed various issues concerning the SEC’s role and timeline for Ethereum ETF approval. Senator Hagerty responded positively to Gensler’s timeline, noting the end of summer as a potential approval date.
Since the approval of spot 19b-4 filings on May 23, there has been widespread speculation about the listing of Ethereum ETFs. Gensler clarified that the listing timeline depends on the responsiveness of issuers to comments. Earlier, analysts like Eric Balchunas projected that approvals might occur in early July. The anticipation surrounding Ethereum ETFs has drawn significant interest from institutional investors, with Ethereum’s price surging 22% to above $3,700 following the approval of 19b-4 filings. Despite recent price corrections, market participants remain bullish, expecting a rally with the future listing.
At the hearing, Gensler also highlighted the challenges decentralized finance (DeFi) poses to anti-money laundering (AML) laws due to its permissionless nature. Global regulators have expressed concerns about the potential risks of illicit finance in the DeFi space. Senator Hagerty advised the SEC to focus on providing regulatory clarity, with Gensler emphasizing that breaking the law or disagreeing with it differs from a lack of rule clarity.
