The wait for a definitive decision on the Invesco Galaxy Ethereum ETF continues as the US Securities and Exchange Commission (SEC) extends its deadline once more. Originally scheduled for May, attention now shifts to VanEck’s pending application, slated for a verdict later this month.
The SEC, for the third time, has postponed its ruling on the proposed Invesco Galaxy spot Ethereum exchange-traded fund (ETF). The latest extension pushes the decision deadline to July 5, providing the commission with an additional 60 days to deliberate on the application.
This latest delay was confirmed in an official filing by the SEC on May 6, citing the necessity for further review before reaching a conclusive determination on the Invesco Galaxy spot Ethereum ETF.
As per previous reports, the SEC deferred its decision initially in December 2023, followed by a second extension in February 2024. The proposal for the Invesco Galaxy Ethereum ETF was initially submitted to the SEC on October 20, 2023, and subsequently published in the Federal Register on November 8, 2023.
Under SEC regulations, the agency has a total of 240 days from the date of publication to grant extensions before issuing a final decision, now slated for July 5, 2024, according to the recent announcement.
A statement excerpt from the filing underscores the need for an extended review period to thoroughly evaluate the proposed rule change and associated concerns: “The Commission finds that it is appropriate to designate a longer period within which to issue an order approving or disapproving the proposed rule change so that it has sufficient time to consider the proposed rule change and the issues raised therein.”
The SEC has similarly postponed decisions on similar ETF applications from BlackRock, Fidelity, VanEck, and Grayscale. VanEck’s application is next in line, with a decision expected on May 23, 2024.
Despite earlier optimism, sentiments regarding the likelihood of a spot Ethereum ETF approval have tempered in recent months. Bloomberg ETF analyst Eric Balchunas estimates the odds of SEC approval in May at a modest 25%.