Cryptocurrency markets have grown more optimistic that US securities regulators might approve exchange-traded funds that invest directly in Ether, the second-biggest token behind Bitcoin. The signals, including a Bloomberg News report on May 21 saying that the US Securities and Exchange Commission had recently contacted the exchanges with spot Ether ETF filings, marked a reversal of expectations. A flurry of document filings followed, including for ETFs from ARK 21Shares, Fidelity Investments, Invesco Ltd., Franklin Resources Inc. and VanEck.
Some fund companies had expected a rejection after private talks with the SEC that seemed less upbeat than those held in the run-up to the approval of spot-Bitcoin ETFs in January. Approval of equivalent Ether funds would mean that retail investors could trade the top two crypto coins with greater ease.
