Fidelity’s fate awaits as SEC delays decision.
The launch of spot Ethereum (ETH) ETFs by Fidelity has been delayed by the U.S. Securities and Exchange Commission (SEC). The decision on the application, which was expected on March 5, 2024, has been postponed. Bloomberg analyst James Seyffart predicted this delay and believes that the decision may be pushed back until May. As a result, the price of Ethereum dropped by 2.8% to $2,459, but trading volumes increased by over 14%, reaching $11.9 billion within 24 hours. This news comes after the SEC recently approved 11 spot Bitcoin (BTC) ETFs for trading, leading some to speculate on the possibility of an Ethereum spot ETF. Fidelity entered the race for an Ethereum spot ETF in late 2023, following in the footsteps of BlackRock. Both companies filed bids for spot products after the launch of ETH futures ETFs. BlackRock’s CEO, Larry Fink, expressed his belief in the value of a spot ETF based on Ethereum, stating that it is a step towards tokenization.
