NEW: SEC Seeks Feedback on Ethereum ETFs Amid Market Speculation

The U.S. Securities and Exchange Commission (SEC) has initiated a public comment period for proposed spot Ethereum exchange-traded funds (ETFs) from Grayscale, Fidelity, and Bitwise, mirroring past procedures for Bitcoin ETFs. Two exchanges, Cboe BZX and NYSE Arca, will list and trade shares of these ETFs, with comments open for 21 days. Noteworthy is the emphasis on correlations between Ethereum futures and spot markets, crucial for evaluating market size and fraud potential. High-profile involvement underscores growing interest in crypto financial products among traditional firms.

This move comes amidst speculation about SEC approval, with analysts divided on Ethereum ETF prospects. While the SEC’s approval of Bitcoin ETFs marked a milestone, uncertainties remain, including potential delays and varying market sentiments. Despite these, entities like Standard Chartered express optimism, anticipating potential SEC approval by May, underscoring the evolving regulatory landscape and its impact on cryptocurrency markets.

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