The SEC has decided to take more time to think about a proposal from Grayscale for a spot Ethereum ETF. The proposal is about permitting people to buy and sell shares of the Grayscale Ethereum trust on the NYSE Arca market.
NYSE Arca first asked for this change on October 10, 2023. Everyone had a chance to share their thoughts about it until October 27, 2023.
SEC Delays Grayscale Spot Ethereum ETF Decision
In a recent filing, the SEC announced its decision to delay the Grayscale spot Ethereum ETF.
By law, the SEC has 45 days to decide on these kinds of proposals, but they can take up to 90 days if they need more time.
The 45th day for this proposal was supposed to be December 11, 2023, but the SEC says it wants to take longer to really understand everything.
At the time of publication, Ethereum’s current price is $2,296.
Read more: How To Buy Ethereum (ETH) With a Credit Card: A Step-by-Step Guide
Moving the Deadlines
So, instead of December 11, the new deadline for the SEC to make up its decision is January 25, 2024.
The SEC wants to ensure all avenues are considered carefully before saying yes or no.
Grayscale first filed for a spot Ethereum ETF on October 2. BeInCrypto reported at the time that the asset manager comprises 2.5% of the total ETH in circulation.
Recently, reports emerged that BlackRock, the world’s largest asset manager, has applied for an Ethereum ETF.
Coinciding with the announcement of this filing, Ethereum experienced a surge in its price. Between November 15 and November 16, the price of ETH increased from $1,973 to $2,063.
Read more: How to Buy Ethereum (ETH) and Everything You Need to Know
Disclaimer
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Source: https://beincrypto.com/sec-grayscale-ethereum-etf/