Us SEC Delays Decision on BlackRock’s Spot ETH ETF
The US Securities and Exchange Commission (SEC) has delayed its decision to approve the BlackRock spot Ethereum Trust. This delay comes after the SEC approved nearly a dozen Bitcoin spot ETFs in January, leading to a surge in demand for these products. BlackRock’s iShares Bitcoin Trust (IBIT) has already attracted $10 billion in assets under management (AUM) in just two months since its launch.
In addition to BlackRock, other asset managers such as Franklin Templeton, Fidelity, Grayscale, VanEck, Invesco, Galaxy, Ark Invests, and 21Shares have all filed applications for a spot Ethereum ETF. The SEC’s cautious approach towards crypto ETFs is evident in their delay in making decisions, as they carefully assess the risks and regulatory considerations associated with these products. It’s worth noting that it took over ten years for a Bitcoin spot ETF to be approved, with the Winklevoss twins initially applying for it in 2013.
Meanwhile, Ethereum has seen a significant increase in gas fees, reaching levels not seen since March 2023. This surge in gas fees is attributed to the growing interest in a new experimental token standard called ERC-404. On February 9th, Ethereum gas prices hit a peak of 70 gwei, equivalent to $60 for a standard transaction, with peak costs reaching 377 gwei. Several factors contributed to the increased gas fees, but the main trigger was the hype surrounding the ERC-404 token standard.
