SEC Postpones Decision on Invesco’s Galaxy Spot Ethereum ETF

SEC Postpones Decision on Invesco Galaxy Spot Ethereum ETF


By Tanzeel Akhtar
Last Updated:
May 7, 2024 01:32 EDT
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Reading Time: 1 minute


The Securities and Exchange Commission (SEC) has announced a delay in its ruling on the Invesco Galaxy spot Ethereum exchange-traded fund (ETF).
In a statement, the SEC revealed that the new deadline for the decision is July 5, 2024. By this date, the commission will either approve or reject the Ethereum ETF.
“The Commission believes that it is necessary to extend the review period in order to thoroughly evaluate the proposed rule change and the concerns raised,” stated the SEC in the filing released on May 6.
Franklin Templeton’s Eth ETF Decision Postponed
The SEC also recently announced a delay in its verdict on Franklin Templeton’s proposed spot Ethereum ETF, extending the deadline to June 11, 2024. The public filing has left the future of this financial product uncertain for now.
Several issuers, including BlackRock, 21Shares with Ark, Fidelity, Invesco together with Galaxy, Grayscale, VanEck, Hashdex, and Franklin Templeton, have filed applications for Ethereum ETFs.
SEC Expected to Reject Spot ETH ETF Applications on May 23-24
In March, the SEC postponed its decision on approving the BlackRock spot Ethereum ETF. The SEC now has until May 23 to approve or reject VanEck’s ETF application for an Ethereum ETF that tracks the world’s second-largest cryptocurrency.
Bloomberg Intelligence analysts have speculated that the SEC will reach a final decision on spot Ether ETFs in May, as several asset managers have application deadlines during this month. However, the recent delays from the SEC have lowered expectations. Bloomberg Intelligence analyst James Seyffart expressed doubt, suggesting that the current round of Ether ETF applications may ultimately be denied.
In April, it was revealed that Ethereum developer firm Consensys, led by Joe Lubin, filed a lawsuit against the SEC over its excessive regulation of the Ethereum blockchain. Lubin announced on social media platform X that Consensys is taking a significant step to protect access to ether and the Ethereum blockchain in the US by suing the SEC and challenging its regulatory overreach.
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