The SEC has once again pushed back its decision on the proposal from Grayscale Investments for a spot Ethereum ETF, issuing a Thursday order to seek additional public comment and review.
Specifically, the SEC wants to know if Ethereum’s proof of stake system and potential concentration of control or influence could make the fund vulnerable to fraud and manipulation.
The agency also raised questions about Ethereum futures products. Comments are due in 21 days with a 35-day rebuttal period.
This is not the first delay for the proposal, as the SEC initially postponed its decision on December 5.
In addition, the SEC has also delayed deciding on other proposed spot Ethereum funds from BlackRock and Fidelity in the past week.
Crypto experts are divided on the likelihood of a spot Ethereum ETF being approved, with some predicting a potential green light in May after the recent approval of spot Bitcoin ETFs.
