SEC Postpones Ethereum ETF Options!

Next Deadline: November 10 for BlackRock!

Sep 25, 2024

BlackRock's Crypto Focus: Bitcoin vs. Ethereum—Who's Winning the ETF Battle?

The United States Securities and Exchange Commission (SEC) has delayed its decision on listing Ethereum ETF options by Nasdaq ISE LLC. Originally set for September 26, the decision is now moved to November 10, 2024, giving the SEC more time to review the proposal, potentially opening doors for new opportunities in Ethereum-related products.

SEC Extends Review for BlackRock Ethereum ETF Options

The SEC recently announced it would delay its decision on BlackRock’s Spot Ethereum ETF options. Nasdaq ISE LLC had requested approval to amend its listing rules to include options on the iShares Ethereum Trust, managed by BlackRock. The delay gives regulators more time to assess the proposed changes.

The SEC explained that the delay is necessary to fully evaluate the potential implications of the proposed rule change, particularly in a rapidly evolving market like crypto. The new deadline for the decision is now set for November 10, 2024.

BlackRock Bitcoin ETF Options Approved, Ethereum Faces Delays

This delay comes after the SEC approved options for BlackRock’s Bitcoin ETF on September 20. These options are now trading on Nasdaq under the symbol IBIT. However, Ethereum-related products still face regulatory hurdles.

Spot Ethereum ETFs See Record Outflows

As the SEC reviews BlackRock’s Ethereum ETF options, spot Ethereum ETFs have seen a $79 million outflow, the largest since their July launch. Grayscale’s ETHE product was hit hardest, losing over $80 million.

While crypto investments are gaining popularity, Ethereum ETFs haven't matched the interest seen in Bitcoin ETFs. Approval of BlackRock’s Ethereum ETF options could revive interest in Ethereum-based products.

The SEC's delay allows for more review of BlackRock's Ethereum ETF options. As the market awaits the November 10 decision, Ethereum ETFs continue to struggle, though approval could spark renewed interest.