Crypto News – Following SEC approval, several Ethereum futures exchange-traded funds (ETFs) went live in the US this week, a first for the commodity. Additionally, experts in the field speculate that it might be a hint that the Security and Exchange Commission is softening its opposition to ETH.
9 Assets Receiving Ethereum ETF Approval Could Be Proof That the SEC Doesn’t Consider ETH a Security?
Nine Ethereum futures ETFs started trading in the US on October 2. Initial transactions were modest, though, and industry watchers weren’t convinced that the SEC’s approvals were encouraging. According to Brian Quintenz, head of policy at a16z Crypto and a former CFTC commissioner, the SEC may no longer see ETH as a security given the approval of an Ethereum ETF.
By approving ETH ETFs based on ETH commodity futures contracts, the SEC has officially provided clarity on ETH’s status as a non-security.Quintenz
The Chicago Mercantile Exchange’s futures contracts, not the physical product, are what support futures ETFs. Additionally, the SEC seems at ease with permitting these to trade. It hasn’t yet authorized any spot-based cryptocurrency transactions, though. Quintenz stated that the fact that so much innovation is being produced on the Ethereum blockchain “creates a clearer path for builders.”
It’s ridiculous and insulting that it took so long to get here, but it’s a big win for the crypto space, and more importantly for the future of the internet.Quintenz
SEC Has Yet to Classify Assets
Ethereum skeptics who contend that the currency is a security paid close attention to the remarks. The SEC has yet to classify the asset, and more significantly, neither has the US Congress. The debut of the Ethereum futures ETF wasn’t met with as much optimism by MV Capital CIO Tom Dunleavy.
The only thing that matters is spot buying which a spot ETF facilitates because these funds need to be seeded.Dunleavy