However, this does not mean that ETH ETFs will be authorized in the near future. Potential issuers need to have their S-1 applications approved. In turn, the SEC may require an indefinite amount of time to review them.
On Monday, Bloomberg Intelligence ETF analysts Eric Balchunas and James Seyffart raised their odds of spot Ethereum ETF approval to 75% after hearing about the SEC’s favorable stance on the applications.
The SEC’s decision on spot Ethereum ETFs for VanEck is expected on May 23rd.
Currently, an investigation is underway to determine whether Ethereum’s main native asset is a security. If the SEC deems ETH a security, this could be one reason why the regulator rejects current applications for spot Ethereum ETFs.