NAIROBI (Coinchapter.com) – The Securities and Exchange Commission (SEC) has again delayed its decision on the proposed BlackRock Spot Ethereum ETF. The SEC is extending the review period for applications from BlackRock and Fidelity Investments. The delay does not appear to have any impact on the currently bullish cryptocurrency market, with Bitcoin nearing all-time highs.
Continued Delays for BlackRock Spot Ethereum ETF
The SEC’s initial delay on BlackRock’s proposed Spot Ethereum ETF came in January, with the decision timeline extended from January 25 to March 10. This pattern of delays extends to several other spot Ethereum ETF applications, including offerings from Fidelity, Invesco, and Galaxy Digital.
The repeated delays highlight the SEC’s ongoing scrutiny of the cryptocurrency market. Analysts like Seyffart suggest these delays could continue until May 23, the deadline for final decisions on VanEck and Ark Invest’s applications.
May 23 remains an important date for the Ether ETF.
Despite the SEC’s cautious approach, the cryptocurrency market remains resilient. Bitcoin is trading at around $67,422.86 at the time of this writing and is approaching its all-time high. Ethereum’s market cap now stands at $446 billion after a recent surge of 7.17%. The total cryptocurrency market capitalization is over $2.3 trillion.
The ethereal nature of continued concern.
While ignoring the delay, the SEC cited the need to closely examine the BlackRock Spot Ethereum ETF’s vulnerabilities to manipulation and fraud. Regulators have questioned Nasdaq’s claim that manipulation of the ether spot market necessitated trading on the regulated CME futures market.
The SEC is also seeking public comment on Nasdaq’s proposed surveillance agreement with Coinbase to gauge its effectiveness in detecting and curbing fraud affecting Ether-based ETPs. As the cryptocurrency Wild West evolves, the SEC remains steadfast in investigating potential risks to investors.
In conclusion, the SEC has postponed its decision on the Blackrock Spot Ethereum ETF, which will only increase expectations for the pivotal proposal. This decision not only impacts this product, but also signals broader acceptance of cryptocurrencies in traditional financial markets. As the deadline approaches, the results will undoubtedly mark a significant milestone in the cryptocurrency’s ongoing journey toward regulatory approval and mainstream adoption.