Standard Chartered Bank, previously optimistic about the approval of spot Ethereum exchange-traded funds (ETFs) by the U.S. Securities and Exchange Commission (SEC), has revised its stance, now suggesting that approval in May is unlikely.
Geoffrey Kendrick, Head of Standard Chartered Bank’s Forex and Digital Assets Research, shared insights in a report issued on Tuesday. “We had previously anticipated the SEC to approve ETH ETFs on May 23,” Kendrick stated. “This expectation was based on the assumption that the ETH approval process would follow a trajectory similar to that of BTC ETF approval, granted by the SEC in January. However, the lack of constructive dialogue between the SEC and the ETF applicants, as seen in the lead-up to BTC ETF approval, suggests that a May 23 approval date is improbable.”
The SEC recently announced a delay in its decision-making process regarding spot Ethereum ETF proposals from Franklin Templeton and Grayscale. The timeline for Franklin Templeton’s ETF has been extended to June 11, while Grayscale’s ETF faces a deadline of June 23. Following these dates, the SEC may approve, disapprove, or initiate proceedings regarding the ETF proposals.
“We acknowledge the SEC’s decision to delay the evaluation of spot Ethereum ETF proposals,” Kendrick added. “This postponement indicates a need for further deliberation and scrutiny by regulatory authorities.”
Standard Chartered Bank remains committed to providing accurate and timely analysis of digital assets and their regulatory landscape, supporting informed decision-making for investors and stakeholders.