Invesco Galaxy Misses Spot Ethereum ETF S-1 Deadline, Will Approval Be Delayed?

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As a seasoned crypto investor with years of experience in this dynamic market, I find Invesco Galaxy’s missed S-1 deadline for its Spot Ethereum ETF filing disconcerting. The industry has seen significant progress with other major players like VanEck and Bitwise making efficient strides towards regulatory approval.

It came as a surprise when investment firm Invesco Galaxy failed to meet the July 8 deadline for submitting an amended S-1 form to the SEC for its Spot Ethereum ETF. Meanwhile, industry giants like VanEck, Bitwise, BlackRock, Fidelity, and Franklin Templeton managed to submit their amendments before the deadline.

Invesco Galaxy Misses S-1 Deadline For Spot Ethereum ETF

I. Last month, the Securities and Exchange Commission (SEC) asked for certain amendments in the S-1 registrations of Spot Ethereum ETF filers following their initial rejections with minor suggestions.

Nate Geraci, the President of ETF Store, pointed out the lack of Invesco Galaxy’s filing submission. On X, previously known as Twitter, he expressed, “The only amendment I didn’t observe today was Invesco Galaxy’s eth ETF… It might be uploaded to the SEC website soon. Otherwise, all other applicants have submitted, and now we just need to wait for the SEC.”

Despite this, he remained hopeful about the upcoming Spit Ethereum ETF launch, which is predicted to occur next week. He further mentioned, “I believe next week is the strongest contender for the launch. Notably, Grayscale has announced July 18 as the creation date for its Mini Ethereum Trust.” Additionally, Grayscale’s announcement regarding the Mini Ethereum Trust has further fueled optimism surrounding the ETF launch.

From my perspective as an analyst, the failure of Invesco Galaxy to move forward with the Ethereum ETF approval process raises queries regarding potential holdups. With competitors like VanEck and Bitwise making swift progress, any delay could negatively influence Invesco Galaxy’s position in the market race to launch a spot Ethereum ETF.

VanEck is one of the companies that have submitted an amended S-1 filing and intends to trade under the ticker symbol “ETHV”. Industry experts predict that VanEck’s final approval from the SEC is imminent, with the process possibly being completed by summer. The SEC previously granted preliminary approvals to eight other firms in May, leading many to believe that VanEck’s final S-1 application will also be approved soon. SEC Chairman Gary Gensler has mentioned this timeline as companies work on finalizing their investment vehicles.

VanEck has announced a competitive fee of 0.20% for its Ethereum ETF, attracting investor expectation for low fees from other issuers as well. In advance of this, Bitwise submitted an S-1 amendment last week with a waiver request of up to $500 million over six months. This move showcases Bitwise’s eagerness to take advantage of the increasing demand for Ethereum ETFs in the market.

Will Approval Be Delayed?

Additionally, Geraci noted that institutions are preparing for a possible launch within the next week or two. Likewise, Grayscale Investments has advanced plans for the release of the Mini Ethereum Trust.

On July 18, 2024, Grayscale designated as the record date for issuing and dispersing new shares of the Grayscale Ethereum Mini Trust (ETH Trust). This action aims to enhance the worth of current shareholders in the Grayscale Ethereum Trust (ETHE). Grayscale’s decision to introduce a new crypto investment product might serve as a benchmark for other industry players.

Instead of “In contrast, Invesco Galaxy’s delay could lead to regulatory setbacks,” you could say “Invesco Galaxy’s delay in meeting regulatory deadlines may result in regulatory issues.” Or, “The SEC’s meticulous review process and Invesco Galaxy’s missed deadline might cause a delay in their approval.” This highlights the significance of adhering to regulatory requirements promptly in the cutthroat and ever-changing crypto investment market.

The market has rapidly reacted to these recent events. Social media is filled with discussions about how Invesco Galaxy’s missed deadline might affect the Ethereum ETF sector as a whole. Investors are keeping a close eye on the SEC for any new information and are prepared for possible modifications in the fee structures of upcoming ETFs.

The upcoming actions for Invesco Galaxy are of great significance. It’s essential that they submit their amended S-1 filing at the earliest opportunity to remain competitive. Neglecting this could lead to missed opportunities and decreased investor trust. Thus, Geraci suggested keeping an eye on July 9 morning as he anticipates the Invesco Galaxy S-1 amendment will be submitted by then.

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2024-07-09 10:18