Expectations are high Ethereum Spot Exchange Traded Fund (ETF)) continues to decline after receiving approval from the U.S. Securities and Exchange Commission (SEC). In this regard, Justin Sun, the founder of the Tron network, has achieved quite a bit. prediction Comments on the regulatory potential of the Spot Ethereum ETF indicate that approval is highly unlikely to be completed by the May deadline.
Uncertainty about Ethereum Spot ETF
Earlier this year, the cryptocurrency industry was optimistic about the Ethereum spot ETF, but as the decision date approaches on May 23, pessimism about the SEC’s approval of the product appears to be growing.
Tron founder, justin sun, There has been negative sentiment expressed as it is clear that the spot ETH ETF will not receive SEC approval next month. According to Sun, in order to help authorities and regulators understand cryptocurrencies, the cryptocurrency industry still needs to prepare for a lengthy training process, although he believes the industry already exists.
Here is the post:
My honest opinion (NFA) is that an Ethereum ETF will not be approved in May. The cryptocurrency industry, along with regulators, must prepare for long-term education focused on improving understanding of cryptocurrencies. But we’ve always been here, right?
Sun is not the only popular figure in the cryptocurrency industry to recently express doubts about spot products receiving approval from regulatory watchdogs. Last week, ETF Store President Nate Geraci hinted that the product may not be approved due to the SEC’s significantly reduced engagement with ETH spot ETF issuers compared to previous interactions.
Geraci believes this is logically correct, but wonders if the Commission has learned its lesson from the clown show with the Spot Bitcoin ETF. However, the President identified two potential outcomes for the spot ETH ETF, including committee approval or legal action.
Spot ETH ETF approval probability plummets
After the request for a spot ETH ETF was made, the chances of exchange funds being approved in May became slim. data Polymarket, a decentralized prediction market platform, reports that the current acceptance rate is estimated at 11%. When a Bitcoin spot ETF was approved on January 10, the odds were measured at 76%, suggesting a significant decline over time.
Additionally, Bloomberg Intelligence analyst Eric Balchunas put his odds of approval at around 35%, down from his initial forecast of 70% in February. The Bloomberg expert said he believes the committee should approve a spot ETH ETF for several reasons.
But this time there were no sources or signs that gave him an optimistic forecast of 2.5 months. Bitcoin Spot ETF It exists. Balchunas’ chances of meeting the May deadline have diminished, but he believes there is a chance that physical products will be accepted in the long term.
Featured image from iStock, chart from Tradingview.com