Fox Business Reporter SEC Takes Firm Stance Against Ethereum Spot ETF But Internal Divisions Emerge

Fox Business reporter Eleanor Terrett shared insights from issuers, investment management companies, and sources familiar with the U.S. Securities and Exchange Commission (SEC) on the outlook for an Ethereum spot ETF.
Issuer Perspectives
SEC’s Stance
Institutional Perspectives
Terrett noted that an issuer who has already launched a Bitcoin spot ETF and has also filed for an Ethereum spot ETF (possibly Fidelity, BlackRock, Grayscale, VanEck, Invesco, ARK 21Shares) expressed confidence that the successful approval and launch of the Bitcoin spot ETF would prompt the SEC to further approve the Ethereum spot ETF.
However, another source close to the SEC revealed that the SEC’s current position is “firmly against” the approval of an Ethereum spot ETF, although there is internal disagreement on this stance. SEC Commissioner Hester Peirce, in an interview with foreign media yesterday, stated that the regulatory agency does not want to repeat the “delay” mistake it made with Bitcoin on Ethereum ETFs.
The biggest difference between Ethereum and Bitcoin lies in how regulatory agencies view the positioning of the assets themselves, especially with SEC Chairman Gary Gensler’s vague position on whether Ethereum could be considered a security. In response to this issue, Terrett asked industry professionals, who indicated that despite the unclear definition of Ethereum by the SEC, the U.S. Commodity Futures Trading Commission (CFTC) views ETH as a commodity. Additionally, Ripple’s partial victory in the lawsuit case will make it difficult for Gensler to continue asserting that most digital assets are securities. Furthermore, the successful listing of Ethereum futures ETFs and BlackRock’s successful track record in ETF approvals also bolster their belief that an Ethereum spot ETF may be launched smoothly before the end of the summer.
In conclusion, considering the perspectives mentioned above, Eleanor Terrett summarized: