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Major Cryptocurrency Shift Due to SEC’s Ethereum ETF Ruling: VanEck CEO
VanEck CEO Jan van Eck Sees Major Sentiment Shift Taking Place in Cryptocurrency Market Tied to US Securities and Exchange Commission approval of a rule change allowing the use of exchange-traded funds for Ethereum.
“This is truly one of the most surprising things I have seen in my career as far as securities regulation is concerned,” van Eck told CNBC.”ETF board” this week.
VanEck was the first to request permission from the SEC to list his proposed Ethereum ETF. Once this first hurdle is overcome, VanEck can begin the process of bringing the product to market, although the exact timing is unclear.
“There was a real risk that the SEC would lose any kind of jurisdiction over digital assets. So the first reaction was to get the green light for the ETF, the Ethereum ETF,” he said. “But I think there’s also a bigger narrative going on.”
For van Eck, the buzz around Ethereum this May means clearer regulation on the horizon and growing investor interest in cryptocurrencies. In a statement on his website, his company said that “the evidence clearly demonstrates this ET it’s a decentralized commodity, not a security.”
Van Eck said the Financial Innovation and Technology for the 21st Century Acto FIT21, passed in the House on May 8 was another important step towards regulatory clarity for cryptocurrencies, although it is doubtful that it will reach the Senate before the elections.
Ether spiked following the SEC’s approval of Ethereum ETF listing applications on May 23, but has been virtually stable since then.