TechFlow news, according to Jinshi Data, SEC Chair Gary Gensler said Wednesday that the timing for when spot Ethereum-linked ETFs could begin trading depends on how quickly issuers respond to the SEC's inquiries.
Before an ETF can begin trading, the SEC must approve the issuer's registration statement, which details investor disclosures. This process typically involves extensive back-and-forth communication.
Gensler noted that registrants proactively respond to comments, but the speed and quality of their responses are up to them. He did not specify whether the process would take weeks or months.
Gensler pointed out that Ethereum futures ETFs have been trading since last year, with correlations similar to those of Bitcoin.
Following a court ruling in favor of Grayscale last year, the SEC approved spot Bitcoin ETFs in January this year. Gensler called this approach "the most sustainable path forward," though he still believes the cryptocurrency sector is rife with fraud and scams.
