The Securities and Exchange Commission (SEC) postpones its decision on BlackRock’s Ethereum spot ETF to March

The decision on BlackRock’s proposed exchange-traded fund (ETF) for Ether (ETH) has been delayed by the United States securities regulator. The postponement, one day before the deadline, is attributed to the regulator’s requirement for additional time to thoroughly assess the proposed rule change.

“In a filing on January 24, Sherry Haywood, the assistant secretary of the Securities and Exchange Commission, stated “The Commission finds it appropriate to designate a longer period within which to take action on the proposed rule change.” 

The SEC announced the delay just one day before the January 25 deadline, marking the initial postponement within a 240-day period that the SEC can utilise. This first deadline follows Nasdaq’s filing for an iShares Ethereum Trust (on behalf of BlackRock) on December 11, with nearly 45 days in between.

Although the SEC is obligated to reach a final decision on BlackRock’s spot Ether ETF by August 7, Bloomberg ETF analyst Eric Balchunas anticipates that all outstanding spot Ether ETF decisions will be made in May. This timeline mirrors the SEC’s handling of 10 pending spot Bitcoin ETFs on January 10.

VanEck and Ark 21Shares’ Ether ETF applications face final decision deadlines on May 23 and May 24, respectively. The remaining three applicants—Grayscale Investments, Invesco Galaxy, and Fidelity Investments—have final deadlines on June 18, July 5, and August 3, respectively.

Bloomberg ETF analyst James Seyffart highlighted the significance of May 23rd as the upcoming crucial date on January 24. He expressed his anticipation of witnessing occasional delays in spot Ether ETFs throughout the following months.

In the beginning of the month, Balchunas estimated a 70% likelihood of a spot Ether ETF receiving approval by May.