Ethereum ETF Approval Left Hanging as SEC Pushes Back BlackRock Proposal

The U.S. Securities and Exchange Commission Chair, gary gensler gary gensler Gary Gensler is the chairman of the U.S. Securities and Exchange Commission (SEC). His studies in finance and blockchain at MIT have helped him develop U.S. cryptocurrency regulations and policies. Quick Facts Full name Gary Scott Gensler Birth 18-10-1957, Baltimore, Maryland, United States Nationality American Education MBA from the University of Pennsylvania Marital status Married to Francesca Danieli (1986-2006) Net worth Estimated $100 million   Gensler has advocated for enhanced supervision of digital assets, seeking to regulate cryptocurrencies similar to securities. His work at the SEC has focused on safeguarding investors, regulating crypto exchanges, and establishing stablecoin policies.   Gary Gensler - Career Highlights 1997 – Became Assistant Secretary of the Treasury. 2009 – Led CFTC, regulating financial derivatives post-2008 crisis. 2018 – Taught blockchain and crypto at MIT. 2021 – Appointed SEC Chairman, focusing on crypto regulations. 2022 – Proposed stricter rules for crypto exchanges. 2023 – Took legal action against major crypto firms. 2024 – Advocated for stronger stablecoin and DeFi regulations.   Gary has collaborated with multiple lawmakers in formulating crypto policies. Even with disagreements with crypto investors regarding crypto policies, he continues to be a key player in the changing dynamic between regulatory frameworks and blockchain advancement.   Awards & Recognitions of Gary Gensler Year Institution  Description 2009 U.S. Treasury Financial Regulation Leader 2018 MIT Blockchain & Crypto Educator 2021 SEC SEC Chairman Overseeing Crypto Policies 2023 Bloomberg Most Influential Regulator in Crypto 2024 Forbes Top Policy Maker in Digital Assets   Useful Links to Connect With Gary Gensler Platform Link X (formerly Twitter) twitter.com/GaryGensler CFTC website Chairman Gary Gensler   Chairman , recently clarified that the approval of spot Bitcoin ETFs is limited to Bitcoin alone. Following the Bitcoin ETF approval, wild anticipations have arisen in hopes of spotting Ethereum ETFs. However, Gensler emphasized that the current focus is only on Bitcoin ETFs. 

Naturally, this has caused an uproar. Let’s dive in.

Gensler’s Highlights

Gary Gensler emphasized that the approval of Bitcoin ETFs doesn’t extend to the approval of other cryptocurrency ETFs like Ethereum. He affirmed that the improved disclosure and competition in the Bitcoin ETF market had benefited investors with lower fees. 

“As I said two weeks ago, what we did about bitcoin exchange-traded products is cabined to this one commodity non-security and shouldn’t be read to be anything other than that.” … “You’ve seen some competition in which investors benefited from lower fees.”

Amidst the celebrations, the SEC finds itself entangled in legal battles with major crypto players like Binance, Coinbase, and Ripple. Gensler, maintaining a strategic silence, refrains from commenting on the ongoing court hearings involving these industry giants.

Timeline Extended

Following the media disclosure of Gensler, a court filing from the SEC on Wednesday announced the delay of its decision timeline on BlackRock’s proposal for a spot Ethereum exchange-traded fund to March. 

The filing revealed that the Nasdaq Stock Market filed a proposed rule change to list and trade shares of the iShares Ethereum Trust. For such a proposed rule change, the SEC is authorized to take 45-90 days to announce its decision.  

Hence, because of this need for sufficient time to consider the proposed rule change and related issues, the SEC has decided to extend the decision deadline to March 10, 2024.

Read More About This: BlackRock’s Ethereum ETF: March 10th Deadline Could Be Make-or-Break!

Ripple CEO Speaks Out

Quoting Ripple CEO Brad Garlinghouse, the approval of a Bitcoin ETF comes with a mix of emotions, driven by the SEC’s need for a court intervention. Garlinghouse warns against a repetitive journey for every ETF, highlighting the potential challenges.

“The sad part of that reality is we have a Bitcoin ETF only because a US court said to the SEC “You’re being arbitrary and capricious in your apply of your application of the law”… What would be sad is if every ETF had to go through that same journey.” 

Also Read: BlackRock Decides to Stay Away from XRP ETFs; Here’s Why