BlackRock, Fidelity Ethereum ETF Proposals Face Further SEC Delay: May Emerges as Crucial Period

• SEC delays decision on BlackRock and Fidelity’s Ether ETFs, marking continued regulatory caution.
• Despite delays, market optimism for Ether ETFs remains high, with significant price gains in anticipation.

The United States Securities and Exchange Commission (SEC) has once again delayed its decision on whether to approve the highly anticipated spot Ethereum exchange-traded funds (ETFs) proposed by financial giants BlackRock and Fidelity. This announcement, made in separate filings on March 4, marks another pause in the ongoing saga of cryptocurrency ETFs in the U.S., following a similar delay that occurred in January.

Previously, the Chicago Board Options Exchange (CBOE) has taken a significant step by advancing Franklin Templeton’s filing for a Spot Ethereum ETF, signaling a growing institutional interest in cryptocurrency investments, as formerly reported by Crypto News Flash.

Anticipation Builds as SEC Delays Decision on Ethereum ETFs

BlackRock and Fidelity, known for their influence in the financial world, have been in the spotlight with their proposals for the iShares Ethereum Trust and Ethereum Fund, respectively. This delay comes on the heels of the SEC’s approval of several spot Bitcoin ETFs, a decision that had sparked hope for a more crypto-friendly stance from the regulatory body.

Despite the SEC’s reluctance to move forward swiftly with Ether ETFs, the market has shown remarkable resilience. Ethereum’s price, in particular, has seen a significant upswing, with a 56.7% increase in the last month alone. This bullish trend underscores the market’s optimism and eagerness for regulatory approval of cryptocurrency ETFs, which many believe could bring a new level of legitimacy and stability to the sector.

James Seyffart, a Bloomberg ETF analyst, has pointed to May 23 as a pivotal date in this narrative. This date, which is the final deadline for VanEck’s spot ETH ETF application, is seen as the decisive moment that could set the tone for the future of Ethereum ETFs.

SEC just delayed @InvescoUS & @galaxyhq's #Ethereum ETF. 100% expected and more delays will continue to happen in coming months.

The only date that matters for spot #ethereum ETFs at this time is May 23rd. Which is @vaneck_us's final deadline date pic.twitter.com/gkVZL2QuPK

— James Seyffart (@JSeyff) February 6, 2024

Seyffart’s commentary has added fuel to the speculative fire, with many investors and market watchers marking their calendars in anticipation. If you still want to fully explore this development, you can watch the CNF YouTube video below.

Comparison with Bitcoin ETFs

While the enthusiasm for Ether ETFs is palpable, some experts remain cautious. The success of spot Bitcoin ETFs, particularly BlackRock’s iShares Bitcoin ETF which boasts an impressive $10 billion in assets under management, sets a high bar. The question on many minds is whether Ether ETFs can replicate or even surpass this success.

At the time of writing, the price of ETH has risen 7.11% in the last 24 hours, reaching a price of $3,717.87. This represents an increase of 14.99% over the past 7 days.