VanEck CEO Jan van Eck believes that the US Securities and Exchange Commission (SEC) will reject applications for Ethereum (ETH) exchange-traded funds (ETFs).
SEC’s Stance on ETH ETFs
In March, the SEC announced a 60-day delay in its decision on ETH ETFs. The agency cited the need for more time to consider the proposal.
Industry Pressure
Despite the SEC’s delay, several crypto firms, including Coinbase and Consensys, have urged the agency to approve ETH ETFs. They argue that Ethereum’s security and fraud resistance surpass that of Bitcoin.
VanEck’s Perspective
Van Eck told CNBC that he expects the SEC to reject ETH ETF applications. He cited the lack of regulatory feedback on the applications, which he says is a sign that the SEC is not yet ready to approve them.
Implications for Investors
ETFs provide investors with exposure to an asset without requiring them to purchase it directly. The rejection of ETH ETFs would limit investors’ ability to access the Ethereum market through traditional investment vehicles.
