The US Securities and Exchange Commission (SEC) acknowledged a proposed rule change for ProShares Ethereum ETF and approved Ark Invest’s exit from 21 Shares’ application on June 10.
The agency’s notice on ProShares recognizes but does not approve the proposed rule change.
The SEC must act on the proposal within 45 days of publication, with an option to delay up to 90 days. At that point, the agency must approve, disapprove, or institute additional proceedings to determine the applications’ outcomes.
The timeline could extend ProShares’ launch date beyond its competitors’ launch date. Bloomberg ETF analyst James Seyffart commented on the timing, stating:
“Instinct initially says this [won’t] launch on day 1 with the other ETFs whenever that is but who knows.”
NYSE Arca aims to list and trade shares of ProShares’ fund.
21Shares can continue without ARK
The SEC affirmed that 21Shares’ proposed fund could proceed with Ark Invest absent from the fund’s title and free from its sub-adviser role.
The agency waived its usual 30-day operative delay, making the change effective upon the filing date. It permitted the change to occur immediately because it does not significantly affect investor protection or burden competition.
Ark and 21Shares revealed they would part ways on the fund on May 31. In a statement to Bloomberg ETF analyst Erich Balchunas, Ark said it “will not be moving forward” with an Ethereum ETF but provided no apparent reason for its exit. It remains involved in the spot Bitcoin ETF ARKB.
Spot ETH ETFs have yet to launch
Although the SEC approved 19b-4 rule changes for eight spot ETH ETFs on May 23, the agency has yet to approve applicants’ S-1 registration statements.
Accordingly, the applicants have not launched the products for trading, and there is no definite launch date for the various spot Ethereum ETFs.
Balchunas believes the applications could launch by the end of June, with an “over-under” date of July 4.
JP Morgan believes the funds will begin trading by November.
Source:cryptoslate.com
