The U.S. Securities and Exchange Commission (SEC) has announced a 45-day delay in its decision on Grayscale Ethereum Trust's proposed spot exchange-traded fund (ETF). The SEC extended the timeline to Jan. 25, as revealed in a filing on Tuesday.
"The Commission finds it appropriate to designate a longer period within which to take action on the proposed rule change so that it has sufficient time to consider the proposed rule change and the issues raised therein," stated the SEC in the filing.
Analyst James Seyffart from Bloomberg Intelligence noted the delay as anticipated, mentioning that Grayscale's Ethereum trust filing was originally expected by Dec. 6, 2023, making this delay routine.
This delay follows similar actions on other proposed ETFs related to Ethereum and Bitcoin, including the Hashdex Nasdaq Ethereum ETF. Grayscale's Ethereum Trust, launched in 2019, currently holds nearly $5 billion in assets under management, representing a significant portion of ETH in circulation.
The SEC has yet to approve a spot ether or bitcoin fund and has delayed decisions on all applications received, including those from firms like BlackRock and Bitwise, which recently filed amendments to their spot bitcoin proposals.