The U.S. SEC has granted the final go-ahead for the first spot ETH ETFs in the United States. Trading is set to begin tomorrow, July 23.
Today, July 22, the U.S. Securities and Exchange Commission accepted the securities filings of several spot Ethereum (ETH) exchange-traded funds.
The SEC approved ETH ETF products from a total of eight issuers, including asset management giants Fidelity, BlackRock, and VanEck, as well as 21Shares, Bitwise, and others.
The SEC first approved applications for these ETH ETFs at the end of May. Firms were still waiting for their S-1 filings—the registration of new securities—to be approved for trading to start.
Last week, the SEC informed issuers they needed to finalize their S-1 documents by July 17 to receive approval for trading to start on July 23.
How will the price of ETH react?
A report from Kaiko Research published today suggested that the outlook for the price of ETH after the spot ETFs launch is unclear.
The firm noted that when futures-based ETH ETFs launched last year, demand was "underwhelming." The price of ETH has dropped about 2.5% over the past 24 hours, trading near $3,400 currently.
Earlier today, analysts from IntoTheBlock noted that the Ethereum price faces critical resistance around $3,500 levels.
In general, analysts and the industry see the launch of a spot ETF product as a bullish sign for wider adoption of cryptocurrencies.
Since ETFs are traded on traditional exchanges, more traditional investors now have access to the two largest cryptocurrencies by market cap via a vehicle they are comfortable trading.
First Bitcoin, now Ethereum
Spot BTC ETFs were approved for trading in the U.S. in January and have since seen record inflows. Since the launch of spot BTC ETF trading in January, Bitcoin’s price has increased almost 50%, currently trading near $67,700.
