A collection of market news and opinions related to the launch of an Ethereum spot ETF

U.S. Securities and Exchange Commission (SEC) Chairman Gary Gensler, who has absolute power over the approval process, told the Bloomberg Invest Summit on Friday (local time) that the approval process for an Ethereum ETF is on track. He added: "We don't know when the product will launch. The issuer registration process is still ongoing, and we expect to launch sometime this summer. The only remaining steps to launch the ETF are the disclosure and registration processes."

"VanEck has just filed an 8-A Registration of Securities (ROS) application for an ETH spot ETF with the U.S. Securities and Exchange Commission (SEC)," said Bloomberg ETF analyst Eric Balchunas. "In the past, 8-As have been filed a week before the approval of BTC spot ETFs. This is a good sign for the July 2 approval."

Ethereum's circulating supply has increased by about 50,000 ETH ($168 million) since mid-April. This is the 72nd consecutive day of growth, the longest inflation in history. "Since the last merge (PoS transition) upgrade in September 2022, Ethereum has experienced several prolonged inflationary periods. These include the period immediately after the hard fork (40 days) and late last year (30 days)." "ETH options traders remain bullish on ETH price appreciation, despite the recent crypto price decline," Kaiko said in the report. In May, more ETH put options were bought than ETH call options, but in June, more call options were bought. The December expiration call strike is also higher than the current price. This shift in traders' attitudes is driven by favorable news such as the expected approval of an ETH spot ETF in the US and the end of the SEC's Ethereum 2.0 investigation."

There are others who are bullish on Ethereum ETFs. "We expect $15 billion in net inflows in the first 18 months of an ETH spot ETF," said Matt Hougan, chief investment officer at Bitwise, a crypto asset manager and issuer of a Bitcoin spot ETF. "The BTC Spot ETF has seen $15 billion in net inflows in its first five months. When the ETH Spot ETF launches, investors are expected to invest 75% and 25% in BTC Spot ETF and ETH Spot ETF, respectively. Some believe that the net inflows may be smaller than expected due to the lack of staking in the ETH spot ETF, but this should not have a significant impact on actual demand."