5 Reasons Why Ethereum ETF Approval Is Not A Big Deal In May

As per a prominent analyst and Wall Street high-yield bond trader,  @VivekVentures on X, Ethereum ETF will easily get approval this month. The Ethereum ETF approval date is predicted to be May 23, 2024. 

Here are the five key reasons supporting his claim –

Reasons – 

• The analyst first highlights the removal of Ethereum staking from spot ETF products by ETF issuers ARK and 21Shares, as per their amended filings. Eliminating this source of income reflects a clear path to approval.

• Second, it’s said that Grayscale’s decision to withdraw its application for an ETH futures ETF indicates that a spot ETH product will soon be approved. The reasoning behind this is that the major cryptocurrency company wouldn’t give up a “winnable fight” unless it expected a spot ETH ETF to be approved shortly.

• The SEC’s earlier approval of ETH futures ETFs following the Merge is the third factor. This suggested that proof-of-stake Ethereum will be accepted just like Bitcoin as a commodity governed by the CFTC regulators.

• Fourth, there are the previous remarks made by SEC Chair Gensler, who described Ethereum as a non-security commodity. Although Gensler has recently been secretive about ETH’s situation, the analyst believes that the ETF decisions require clarification.

• Lastly, the SEC’s “arbitrary & capricious” overreach has been rejected by the courts. Denying a spot Ethereum product might result in another embarrassing legal setback for the regulator given the precedent set by the approvals of Bitcoin ETFs.

No wonder why Ethereum has been ranked as one of the best 10 cryptocurrencies to invest in May! Right? 

Conclusion – 

As per the earlier predictions, the SEC was likely to reject the Ethereum ETF Application in May. Accepting that there will be regulatory attacks on cryptocurrency until there are political shifts, the analyst concludes that approval of the Ethereum ETF is unavoidable in order to protect the SEC’s credibility. According to some theories, this “non-consensus” exchange on May 23rd could open the door for Ethereum to be accepted by more institutions and spark “a Renaissance of real crypto innovation.”

Want to know what would happen next in the world of Ethereum? 

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