SEC Commissioner Hester Peirce said that the Ethereum ETF approval process will not be the same as Bitcoin, as the SEC has learned several lessons from the Bitcoin ETF saga.
In today’s interview jack guzmanPeirce said the SEC may not need to be persuaded by a court to eventually approve cryptocurrency-backed ETFs. Peirce noted that regulators will change the approval process for ETH ETF applicants and, as with all ETF products, will regularly consider consumers and markets.
“We should not need a court to tell us that our approach is arbitrary and capricious.”
– Hester Peirce, SEC Commissioner
The commissioner also expressed frustration over the long delay in approving the Bitcoin ETF. Because she always thought this product met the approval requirements long ago.
Peirce also spoke about the SEC’s hack of the X account, which previously posted fake approval posts that led to temporary market manipulation. She believes that if the SEC had not paid so much attention to these approvals, the hack would not have occurred and the agency could have avoided it by using its usual approach to ETF applications.
The lack of high expectations will be a key consideration for the approval of an Ethereum ETF, as the SEC should not be overhyped about regulatory decisions.
Peirce emphasized that approving a spot Bitcoin ETF does not necessarily mean the SEC will change how it regulates cryptocurrencies. She also noted that the agency is not in the business of cracking down on cryptocurrencies, but rather will focus on regulating securities products based on cryptocurrencies traded on stock exchanges, similar to the gold market.