Ethereum futures exchange-traded funds (ETFs) may begin trading in the United States as early Bloomberg analysts predict. It seems that the potential US government shutdown could hasten the launch of Ethereum futures ETFs.
According to James Seyffart, a Bloomberg Intelligence analyst, it appears that the US Securities and Exchange Commission (SEC) might permit various Ethereum futures ETFs to be launched next week. This follows Eric Balchunas’s report that the SEC seeks to expedite the launch of Ether futures ETFs prior to a probable shutdown.
The looming US government shutdown which may occur if Congress fails to fund the new fiscal year could affect the country’s financial regulators, amongst other federal agencies. There are currently 15 Ethereum futures ETFs from nine issuers awaiting approval.
However, these optimistic views may not be completely unfounded. The analysts have given Ethereum futures ETFs a 90% chance of launching this October, with Valkyrie’s Bitcoin futures product (BTF) possibly being the first to carry Ethereum exposure on October 3rd.
On the other hand, not all of them are expected to commence, according to analysts. This skepticism is quite valid considering the previous failed attempts and hesitation of the SEC towards crypto ETFs.
These developments, if they happen, will push the crypto market forward. But, they also raise some concerns about regulatory uncertainties, for instance, the treatment of crypto assets by regulators which has proven to be a difficult labyrinth to navigate. Hence, while the crypto community remains hopeful, the element of cautious speculation persists given these regulatory complexities.
In another twist, legal representatives for Terraform Labs co-founder, have requested a federal court to reject the SEC‘s summon that requires his interrogation in the U.S. over the collapse of the Terra Money ecosystem. The aforementioned co-founder is currently detained in Montenegro.
This raises an additional concern in the crypto ecosystem about how effectively regulators can enforce crypto laws, especially when cross-border issues become involved. The crypto market clearly welcomes governments’ attempts to regulate the market because it brings stability, but it also introduces legal complexities that can be daunting.
In conclusion, the potential launch of Ethereum futures ETFs next week could be a significant step in the right direction for crypto markets. However, regulatory complexities and uncertainties cannot be ignored. This tightrope walk between progress and caution will undoubtedly keep us all on our toes in the days to come.
Source: Cointelegraph
