Standard Chartered Bank projected that U.S. Securities and Exchange Commission will approve Ethereum exchange-traded fund (ETFs), The Block reported on Jan. 30 citing a report.
This expectation mirrors the timeline and approach previously seen in the SEC’s approval process for spot Bitcoin ETFs.
Ethereum’s classification
According to Geoffrey Kendrick, the head of forex and digital assets research at Standard Chartered, the approval of Ethereum ETFs seems likely given the SEC’s previous stance on ETH.
Ethereum, unlike certain cryptocurrencies which have been classified securities in legal proceedings against crypto firms has avoided this categorization. Additionally, ETH’s presence as a regulated futures contract on the Chicago Mercantile Exchange bolsters the likelihood of approval.
Kendrick’s predictions extend beyond mere approval, suggesting a potential spike in Ethereum’s price to $4,000, akin to Bitcoin’s price performance prior to its ETF approval. He noted:
“If ETH prices perform similarly to how BTC prices performed in the lead-up to BTC ETF approval, ETH could trade as high as $4,000 by then.”
Ethereum ETFs
The potential for Ethereum ETFs isn’t without its…
