SEC Chair Gensler Keeps Market Guessing on ETH ETF Approval

Will Ether ETFs gain approval this year? SEC Chair Gary Gensler remains tight-lipped, offering no comment.

Gary Gensler thinking of a strategy for Ethereum.
Created by Kornelija Poderskytė from DailyCoin
  • SEC Chair Gary Gensler continues to keep mum on ETH ETFs. 
  • Experts suggest the SEC’s silence isn’t a good sign. 
  • While Gensler doesn’t share any comment on ETH ETFs, he doesn’t hold back on criticizing the crypto industry. 

Now that Bitcoin ETFs are finally a reality, all eyes turn toward a potential Ethereum ETF. However, unlike its predecessor, the path to approval for ETH ETFs remains shrouded in mystery, as the market keeps guessing on a potential date.

Gensler Offers No Clue on ETH ETFs

SEC Chair Gary Gensler remains tight-lipped on whether the commission will approve a spot Ether ETF anytime soon. In a recent interview with Yahoo Finance, Gensler was questioned about the ten firms racing to approve a spot Ethereum product. 

However, Gensler sidestepped the question, stating he didn’t want to prejudge any filings.


"I don't want to prejudge anyone filing, and as you said, there are ten filings in front of us," Gensler asserted. "So, news alert, I'm not going to prejudge that. But to your question, we look at the facts and circumstances and that which was in front of us."

Meanwhile, leading asset managers such as BlackRock and Fidelity, which have dominated the Bitcoin ETF scene, are already in the race for a spot Ether ETF.  Some experts suggest the SEC could approve a spot Ethereum ETF considering the existence of ether future ETFS and Grayscale’s triumph over the SEC last year. 

However, Eric Balchunas, Bloomberg’s senior analyst, suggests that the SEC’s silence may not bode well, particularly since issuers received comments on their Bitcoin Spot ETF proposals in the past.

Gensler Still Doesn’t Like Crypto

While Gary Gensler kept the market guessing on the approval of the ETH ETF, he didn’t hold back from expressing his disdain for the crypto industry despite playing a pivotal role in the vote for the Bitcoin ETF.


In the interview, Gensler shared that the crypto industry is rife with abuse and fraud, citing the series of bankruptcies in 2022 and 2023. He criticized intermediaries for pooling investors’ assets without proper disclosures, stating, “They’re doing things that we would never allow the New York Stock Exchange to do.”

On the Flipside

  • The SEC typically waits the entire 240-day period before announcing its decision on an ETF proposal, with the waiting period for most ETH ETFs set to end on May 23rd.
  • Eric Balchunas believes there is a 75% chance that ETH ETFs will receive approval in May.
  • The approval process for ETFs can be lengthy and complex, and there is no guarantee that a spot ether ETF will be approved in May.
  • The SEC recently held meetings with Grayscale and Coinbase regarding the ETH ETFs.

Why This Matters

The approval of an ETH ETF could pave the way for border acceptance of similar crypto ETFs within the traditional financial market. Gary Gensler’s deafening silence regarding the SEC’s stance on the investment vehicle suggests that the approval process could be complex.

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This article is for information purposes only and should not be considered trading or investment advice. Nothing herein shall be construed as financial, legal, or tax advice. Trading forex, cryptocurrencies, and CFDs pose a considerable risk of loss.

Insha Zia

Insha Zia is a senior journalist at DailyCoin covering crypto developments, especially in the Cardano ecosystem. With a Bachelor of Science in Computer Systems Engineering, he delivers high-quality articles with his technical background and expertise in data analysis and programming languages, aiming to educate and inform readers accurately, transparently, and engagingly. Insha believes education can drive mass adoption of the crypto space, and he is committed to giving DailyCoin readers a better understanding of the technology.