Jan van Eck, CEO of VanEck, a US asset management company and issuer of Bitcoin spot ETFs, recently stated that the Securities and Exchange Commission (SEC) approving the decision on Ethereum spot ETF could signify a historic shift in cryptocurrency investments and predicts clearer regulations to come.
The SEC, which had previously taken a tough stance, approved the 19b-4 documents (exchange rule changes) submitted by eight Ethereum spot ETF issuers last month, and has requested the issuers to submit amended S-1 documents (registration statements). All signs indicate that the listing of Ethereum spot ETF is not far off.
Jan van Eck, in an interview with CNBC, expressed that the cryptocurrency market is experiencing a significant shift in sentiment, which is related to the SEC’s approval of the rule change for Ethereum spot ETF. VanEck was the first company to submit an application for an Ethereum spot ETF to the SEC. Although the specific listing timeline is unclear, Jan van Eck believes that the approval of the Ethereum spot ETF is of great significance.
Jan van Eck believes that the hype surrounding the Ethereum spot ETF in May of this year indicates that clearer regulations will emerge and investor interest in cryptocurrencies will increase. VanEck previously issued a statement praising the SEC’s approval and stating that “the evidence clearly shows that ETH is a decentralized commodity, not a security.”
Jan van Eck also mentioned the “21st Century Financial Innovation and Technology Act” (FIT21) passed by the House of Representatives on May 8th, which is another major step towards transparency in cryptocurrency regulation in the United States. However, he expressed doubt about whether the bill can pass in the Senate before the US election.
It is worth noting that since the SEC approved the 19b-4 application for the Ethereum spot ETF on May 23rd, data from CryptoQuant shows that the Ethereum reserves on centralized exchanges decreased by 797,000 ETH worth about $3.02 billion between May 23rd and June 2nd. The decrease in exchange reserves indicates a decrease in the supply of tokens available for sale.
At the same time, data from Glassnode shows that the proportion of circulating supply of ETH held by centralized exchanges has dropped to its lowest level in years, currently only 10.6%. Leon Waidmann, an analyst at BTC-ECHO, believes that with the tightening supply of ETH available for sale, the price of ETH is expected to rise significantly.
Related reports:
– Will the approval of the Ethereum spot ETF lead to a frenzy of altcoins?
– Michael Saylor: Approval of Ethereum spot ETF will be more beneficial for Bitcoin, MicroStrategy will buy ETH?
– Is the SEC’s delay in approving the Ethereum spot ETF a huge positive? Analyst: Billions of pounds are ready for deployment.