Bitwise, an asset management firm, has recently made amendments to its S-1 registration with the United States Securities and Exchange Commission (SEC) in order to list and trade shares of a spot Ether exchange-traded fund (ETF). This move comes following statements made by SEC Chair Gary Gensler regarding the potential approval of spot Ether ETFs by the summer of 2024, with speculations that it could happen as early as July. The updated Form S-1 registration statement was filed by Bitwise on July 3, offering a six-month fee waiver for up to $500 million.
Although the filing did not specify a specific launch date for listing and trading on NYSE Arca, it did mention that this will occur “as soon as practicable after the effective date” of the registration. According to Bloomberg ETF analyst Eric Balchunas, Bitwise filed the amended S-1 ahead of a July 8 deadline, suggesting that they wanted to clear their plate of any pending tasks. The lack of comments in the last round of reviews made the update process quick and efficient. Balchunas also speculated on potential reasons for the SEC’s delayed approval process, mentioning the possibility of a problematic issuer or the typical summertime slowdown. Despite the light comments received, the approval process continues to move at a slower pace than expected.
Bitwise’s decision to file for a spot Ether ETF follows the SEC’s approval of 19b-4 filings from eight asset managers on May 23. Since then, the crypto investment community has been eagerly awaiting updates from the SEC regarding the release date of spot Ether ETFs. During a Senate Banking Committee hearing on June 13, SEC Chair Gary Gensler expressed that the commission anticipated approving S-1 registration statements for asset managers sometime during the summer. Gensler reassured that the registration process for Ethereum exchange-traded products was progressing smoothly, with approvals for individual issuers expected in the near future. This positive outlook came after Gensler hinted at a potential delay in the approval process during a June 5 interview on CNBC, emphasizing that the next steps would require additional time.
Bitwise originally filed its S-1 with the SEC for shares of a spot Ether ETF back in March amid speculations that ETH could be labeled as a security by the regulator. However, court filings from June indicated that the SEC had abandoned this consideration, paving the way for Bitwise to move forward with its plans for a spot Ether ETF.