It was only a matter of time before other crypto ETFs would emerge as soon as the first Bitcoin ETF popped up. That happened a few weeks ago, and there are already plans for an Ethereum ETF on the way. Not just plans. According to experts, the SEC is likely to allow ETFs to hold ETH in May.
Standard Chartered even has a date for this – May 23. That’s the last date when the SEC must consider applications from Ark21Shares and VanEck. Asset managers will be the first to come up against the final deadline, and the US securities watchdog will rule on applications by that date. Last June, it left BTC and ETH off the list of tokens it considers securities. This will change soon, though, as interest in Ethereum has never been higher.
Price Hike Incoming?
If the news about the Ethereum ETF are true, then it would certainly have an effect on the price. Many believe that by the projected approval date—May 23—the price will increase to $4,000. That should happen if it follows a similar trading pattern to Bitcoin. It also means that the price would nearly double, which should make ETH enthusiasts happy.
But, compared to the sell-offs that Bitcoin experienced post its approval, Ether is expected to avoid it. The largest cryptocurrency fell by about 20% after the first ETF’s were approved. Investors including FTX sold billions in holdings of the GBTC, and the fund was converted from a trust, and holders couldn’t make redemptions from. However, the Ethereum trust owned by Grayscale offers a much smaller portion of Ether’s market capitalization.
All these factors should make Ethereum less vulnerable than BTC post the ETF approval. Of course, it all depends on other factors too, so it would be interesting to see if ETH behaves the same way as Bitcoin in regards to ETFs. In the meantime, Bitcoin is still going strong with tiny dips here and there. It’s on almost a 5-month winning streak, which is the largest since the COVID-19 pandemic.
Craig Wright Defeated Yet Again
The so-called fake Satoshi Craig Wright, the man who claims he owns the Bitcoin trademark, has been fighting over his claim in courts for a while. He’s even won small fights here and there, but Bitcoin developers won’t just sit idly and let him claim he’s the real deal. They’re fighting him every step of the way, effectively branding him a scammer with their latest move.
At the moment, Wright is holding out a settlement offer to the Crypto Open Patent Alliance. The COPA is allied with the defendants, and already working with them. The only reason he’s doing this, according to the lawyers, is that he fears he’s in big trouble. Lying to a judge is a serious problem, and that’s the reason why many have branded him a charlatan.
It remains to be seen what happens in this case, but the community believes the developers have already won.