Bittime - Ethereum ETF approvalstill pending by SEC? The crypto world is waiting with great anticipation for the decision of the United States Securities and Exchange Commission (SEC) regarding the approval of an Ethereum-based Exchange Traded Fund (ETF). This hope is increasingly burning as the SEC decision deadline is predicted to fall in May 2024.
However, amidst this optimism, surprising doubts emerged from Matt Hougan, CIO of Bitwise Asset Management. In a panel discussion at the Digital Asset Conference London, Hougan actually expressed views that might be considered controversial.
"I'm going to share a view that may be controversial: I hope an Ethereum ETF is not approved in May," Hougan said. "In fact, I actually want it to be launched at a later date."
Hougan's statement certainly contradicts initial expectations surrounding the SEC decision deadline in May. In fact, the public has high hopes for the launch of ETFs that month. However, the latest assessment actually indicates a potential delay in launch until May due to the lack of significant progress in the approval process.
Hougan proposed the delay on the grounds that launching in December would actually be more profitable. The reason is, this delay will give Wall Street and traditional financial players more time to understand the complexity of the crypto world, especially Bitcoin . With better understanding, the market is predicted to be more receptive to Ethereum ETFs.
"Wall Street and traditional finance are just starting to absorb this giant entity called Bitcoin, and they are still in the adjustment phase," Hougan explained. "I think it will take them longer to digest (the complexity of crypto).”
Hougan estimates that it will take about eight to nine months for Wall Street to adequately adapt to Bitcoin (BTC) before considering other ETFs.
Ethereum ETF Delay Pros and Cons
Hougan's views sparked heated debate among crypto investors. Supporters of the May launch argued that a delay would actually negatively impact investment momentum in Ethereum. They argue that SEC approval in May will trigger a surge in Ethereum demand and prices .
On the other hand, those aligned with Hougan argue that a rushed launch could pose its own risks. It is feared that investors' lack of understanding of crypto, especially Ethereum, could cause detrimental price fluctuations. By delaying, investors will have time to learn and invest in a more measured way.
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Fierce Competition for Ethereum ETF Proposals
While the debate over launch timing continues, competition among companies submitting Ethereum ETF proposals is increasingly fierce. A number of big names such as VanEck, Ark Invest, Hashdex, and Grayscale also joined the competition.
Grayscale, for example, is seeking to strengthen their proposal by adding a staking component to the ETF structure. This effort was made to accommodate significant changes that occurred on the Ethereum network after the implementation of Ethereum 2.0.
On the other hand, proposals put forward by other companies, such as VanEck, instead focus on more traditional ETF structures. They hope that this approach will attract the interest of institutional investors who have tended to be conservative in investing in crypto.
Also Read How to Buy Crypto:
Benefits and Risks of Ethereum ETF Approval
The SEC's decision regarding the approval of an Ethereum ETF will certainly have a significant impact on the development of the crypto ecosystem as a whole. The approval has the potential to drive increased adoption of Ethereum and crypto in general.
However, on the other hand, the potential for price spikes triggered by the launch of ETFs also needs to be watched out for. Drastic price fluctuations can pose risks for investors, especially those who have no experience investing in the crypto world.
Conclusion
The anticipated launch of an Ethereum ETF is now facing potential delays. The views of Bitwise CIO, Matt Hougan, provide a new perspective regarding the right momentum to launch this investment product.
While investors' hopes were focused on a launch in May, a delay until December could actually have a more positive impact on the market. The debate regarding the timing of this launch will of course continue until the SEC issues a final decision.
To be sure, SEC approval, regardless of when it is decided, will be a significant milestone for the adoption and future of Ethereum ETFs.
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How to Buy Ethereum (ETH) on Bittime
You can buy and sell Ethereum (ETH) in an easy and safe way via Bittime . Bittime is one of the best crypto applications in Indonesia which is officially registered with Bappebti.
Ethereum (ETH) is available on Bittime with the market pair ETH/IDR . To be able to buy ETH/IDR at Bittime, make sure you have registered and completed identity verification. Apart from that, also make sure that you have sufficient balance by depositing some funds into your wallet. For your information, the minimum purchase of assets on Bittime is IDR 10,000. After that, you can purchase crypto assets in the application.
Learn the complete guide on how to buy Ethereum (ETH) on Bittime.
Monitor price chart movements for Ethereum (ETH), Ethereum (ETH) , Solana (SOL) and other cryptos to find out today's crypto market trends in real-time on Bittime.
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DISCLAIMER: This article is informational in nature and is not an offer or solicitation to sell or buy any crypto assets. Trading crypto assets is a high-risk activity. Crypto asset prices are volatile, where prices can change significantly from time to time and Bittime is not responsible for changes in fluctuations in crypto asset exchange rates.
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