Standard Chartered Bank Anticipates SEC Approval for Spot Ethereum ETFs on May 23

Standard Chartered Bank predicts that the Securities and Exchange Commission (SEC) will likely follow a similar pattern to approving spot Bitcoin ETFs for spot Ethereum ETFs. A recent The Block report states that Geoffrey Kendrick, the head of Standard Chartered Bank's forex and digital assets research, anticipates approvals for pending applications for ETH U.S. spot ETFs by May 23, the final deadline. He points to the SEC's non-classification of ether as a security in legal actions against crypto companies and the regulated futures contract listing of ETH on the Chicago Mercantile Exchange as factors supporting approval. Kendrick notes that Grayscale's ETH trust, aiming for ETF status, could prompt an appeal if denied.

Despite a generally optimistic outlook on crypto, Kendrick acknowledges potential post-approval selling impact on Bitcoin but believes Ethereum is less susceptible due to differences in market cap share. He expects simple Ethereum ETFs replicating ether price movements to be approved on May 23, while those including staking yield rewards might be introduced later. Kendrick also comments on Ethereum's upcoming upgrade, anticipating positive effects on ETH prices. Overall, the crypto community holds varied opinions on the likelihood of spot Ethereum ETF approval.

Resources:

The Block