Ethereum ETF: US SEC Delays Multiple Options Offerings

As a seasoned researcher with years of experience navigating the complexities of financial markets and regulatory bodies, I find myself intrigued by this latest development surrounding Ethereum ETF Options. The SEC’s delay in decision-making, while frustrating to some, could potentially prove beneficial.


The U.S. Securities and Exchange Commission (SEC) has postponed decisions for several entities seeking to list ETF products based on Ethereum spot options. As highlighted by the President of ETF Store, Nate Geraci, the regulatory body announced this delay for Options involving Bitwise, Grayscale Ethereum Trust, Grayscale Ethereum Mini Trust, and other trusts with similar applications.

Delay but not denial?

It’s important to mention that, according to law, the U.S. Securities and Exchange Commission (SEC) has the authority to postpone the approval of any ETF-related product for a maximum period of 240 days. Typically, by the end of this period, the SEC would have collected sufficient grounds to either approve or reject the product.

Experts view the hold-up in the decision to greenlight Ethereum ETF options as a beneficial one. Although a complete rejection could be too harsh, this pause could potentially alter the regulatory standpoint, particularly given the impending possibility of a change in SEC leadership.

Potential delays could ultimately lead to approvals, offering investors a chance to protect their investments by betting on the specified ETF offerings. The reason behind the delays hinted at in the regulatory filing is that they are contemplating ways to mitigate possible market manipulation issues.

The Security and Exchange Commission (SEC) has postponed its judgment regarding the offering of options trading for exchange-traded funds (ETFs) based on spot Ethereum. Meanwhile, it is important to note that options trading is already accessible on leveraged Ethereum futures ETFs, indeed.

— Nate Geraci (@NateGeraci) November 8, 2024

Other concerns center around whether the Ethereum ETF Options will offer a fair trading system to participants under Section 6(b)(5) of the Act. 

Ethereum ETF outlook

The approval of the spot Ethereum ETF product came as an unexpected twist amid uncertainties around its status as a security. However, with the approval, more institutional investors have had to embrace the asset fully. This adoption is showcased by the inflow scored by the product in the past few days.

Based on figures from Farside Investors, an inflow of $85.9 million was recorded for the Ethereum ETF offering on November 8th. This influx marks the third consecutive day with a net inflow, boosted by the favorable performance of the Fidelity Ethereum ETF product.

Currently, the feeling towards Ethereum is optimistic. At present, the coin is being traded at $3,046, marking an increase of 4.54% over the past day. If it receives approval for Options, this could further solidify its potential for long-term growth.

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2024-11-09 15:06