The SEC has again delayed a decision on the Grayscale Ethereum ETF

The US Securities and Exchange Commission has postponed its decision to approve Greyscale Ethereum Futures Trust's Ethereum ETF application, the agency said in a filing on Friday. The new deadline is May 30.

The Securities Exchange Act of 1934 provides that the agency has 180 days, or six months, from the date of notice of a proposed rule change. Greyscale's application was first submitted in September, and the agency postponed a decision until November.

“The Commission finds it appropriate to set aside a longer period of time to issue an order to change or approve the proposed rule in order to have sufficient time to consider the issues raised therein,” the SEC said in its opinion. Previous announcements.

Bitcoin and Ethereum ETFs are a type of investment fund that tracks the value of digital assets and trades on traditional stock exchanges, giving investors a taste of crypto without having to hold tokens directly. A futures EFT focuses on the future price of an asset, versus a spot ETF that tracks the current price in real time.

After approving 11 Bitcoin ETFs in January, the SEC delayed its ruling on the spot Ethereum ETF applications from Grayscale and BlackRock. Next month, the SEC delayed its decision on the application of a common space Ethereum ETF from Invesco and Galaxy Digital Investment Companies.

While the SEC's decision on Greyscale's Ethereum futures ETF may disappoint cryptocurrency investors and enthusiasts, some say the agency's delay is a good thing, allowing Bitcoin ETFs to become more widely accepted.

“Spot Ethereum ETFs will collect more assets if they launch in December than if they launch in May,” Bitwise Chief Information Officer Matt Hogan said on Twitter. “TradFi Needs More Time to Digest Bitcoin ETFs,” on Tuesday.

The SEC's postponement of the Ethereum ETF decision will add negative pressure to push down the price of Ethereum. On Friday, Ethereum fell 10.4% for the week and is currently trading at $3,289, according to CoinCo.

Edited by Ryan Ozawa.