Continued Uncertainty in the ETF Space
The saga of the Invesco and Galaxy Digital Ethereum ETF has encountered another delay, with the U.S. Securities and Exchange Commission (SEC) pushing back the deadline for its decision. The SEC cited the need for further proceedings to deliberate on the proposed rule change by the Cboe BZX Exchange to list and trade shares of the Invesco Galaxy Ethereum ETF. This delay introduces a new 35-day comment period following the notice’s publication in the Federal Register, further prolonging the suspense in the crypto community.
A History of Postponements
It’s not the first time the SEC has put off making a call on the Invesco Galaxy Ethereum ETF. Previously, in December 2023, a similar extension was granted, with the SEC requiring additional time to assess the proposed rule change. The goal of the rule change is to enable the Chicago Board Options Exchange (CBOE) to offer the Invesco Galaxy Ethereum ETF, a mutual fund designed to track Ethereum.
Broader Trends in Ethereum ETF Applications
The Invesco-Galaxy application isn’t alone in facing regulatory hurdles. Other contenders, including the Hashdex Nasdaq Ethereum ETF and the Grayscale Ethereum Futures ETF, have also seen their decision timelines extended. However, despite these setbacks, experts remain optimistic about eventual approvals in the U.S. market.
Global Ethereum ETF Landscape
While U.S. regulators are taking their time, the Ethereum ETF market is flourishing elsewhere. A study by CoinGecko experts reveals that Europe and Canada dominate this space, accounting for nearly 98% of the $5.7 billion global market cap for Ethereum ETFs. This highlights the stark contrast in the pace of ETF adoption between the U.S. and other regions.
English