SEC Opens Public Comment Period on Ethereum ETF Proposals

The U.S. Securities and Exchange Commission has initiated a three-week public comment period for proposals on Ethereum-based exchange-traded funds, amid uncertainties about Ethereum's classification as a security.

The SEC is considering proposals from Grayscale Investments, Fidelity Investments, and Bitwise Asset Management for Ethereum ETFs.
Public comments on the proposals are invited until May 23, with the SEC's decision deadline looming.
The move follows the SEC's earlier approval of Bitcoin ETFs, raising hopes for Ethereum ETFs despite regulatory uncertainties.
Analysts have become less optimistic about the approval of Ethereum ETFs, with chances now estimated at around 30%.
The classification of Ethereum as a security remains a key concern, potentially affecting its legal status compared to Bitcoin.