The Securities and Exchange Commission (SEC) has opted to delay its verdict regarding the approval or rejection of Grayscale's proposed #Ethereum spot ETF. The regulator requires additional time to thoroughly assess the manager's proposal.
Consequently, the #SEC has announced a 45-day extension, with the new deadline now set for January 25, 2024. This date marks the final determination by the regulator to either grant or deny the application.
“The Commission considers it appropriate to set a longer deadline for taking action on the proposed rule change in order to provide sufficient time to consider the proposed rule change and the issues raised therein.”says the SEC
The largest ETH fund in the world
As a reminder, in October 2023, #Grayscale Investments submitted a "Form 19b-4" to convert its Grayscale Ethereum Trust into a SPOT ETF. This trust currently holds at least 2.5% of the total circulating ETH, which is valued at a minimum of $5 billion. This makes it the largest investment vehicle for ETH globally.
As of now, the SEC has not granted approval for any #Ethereum or Bitcoin spot funds. They have also postponed decisions on all received applications in this regard.
