Summary
The SEC has delayed making a decision on spot Ethereum ETF proposals from Grayscale Investments and Franklin Templeton. The approval is not looking likely for the May deadline, with analysts saying there is no more than a 50% chance of approval. If not approved, applicants may take action against the regulator.
Key Points
1. The U.S. Securities and Exchange Commission has delayed making a decision on spot Ethereum exchange-traded fund (ETF) proposals from Grayscale Investments and Franklin Templeton.
2. Grayscale filed an application with the SEC to convert its Grayscale Ethereum Trust (ETHE) into a spot ETH ETF, while Franklin Templeton filed an S1 form with the regulator.
3. Industry analysts have suggested that the approval of spot Ethereum ETFs by the SEC is unlikely by the May deadline, with JP Morgan estimating no more than a 50% chance of approval by next month.