Bitwise files for spot Ethereum ETF amid SEC approval uncertainty

by RT Watson

Funds • March 28, 2024, 3:24PM EDT

Published 1 minute earlier on

UPDATED: March 28, 2024, 3:30PM EDT

The Block

Quick Take

Bitwise filed for a spot ether ETF with the Securities and Exchange Commission amid mounting uncertainty about when the regulator might approve the new financial instrument.
Earlier this month, Bitwise CIO Matt Hougan said that spot ether ETFs should ideally be approved later than May.

Bitwise has filed for the right to issue a spot ether exchange-traded fund even as questions continue to swirl around when the Securities and Exchange Commission might give such products the green light.

Bitwise filed its S-1 form for what it is calling the Bitwise Ethereum ETH -0.88% ETF with the SEC on Thursday. The move follows comments made earlier this month in which the firm's CIO Matt Hougan said it might be better if the SEC doesn't approve the new instruments in May, when the agency is scheduled to approve or deny the first pending applications for spot ether ETFs.

At one juncture, market watchers were confident a spot ether ETF would gain approval, given spot bitcoin ETFs began trading in January. The newly issued products have generated more than $150 billion in trading volume and have largely been lauded as a success.

Chances of spot ether ETF in May dim

Bloomberg ETF analysts, however, recently estimated the chances of a spot Ethereum exchange-traded fund gaining approval in May to be about 30%.

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About Author

RT Watson is a senior reporter at The Block who covers a wide array of topics including U.S.-based companies, blockchain gaming and NFTs. Formerly covered entertainment at The Wall Street Journal, where he wrote about Disney, Netflix, Warner Bros. and the creator economy while focusing primarily on technological disruption across media. Previous to that he covered corporate, economic and political news in Brazil while at Bloomberg. RT has interviewed a diverse cast of characters including CEOs, media moguls, top influencers, politicians, blue-collar workers, drug traffickers and convicted criminals. Holds a master's degree in Digital Sociology.