SEC Won’t Approve Spot ETFs Other Than BTC, ETH: Cathie Wood

Founder and CEO of the asset management firm Ark Invest, Cathie Wood, stated that she doesn’t see the Securities and Exchange Commission (SEC) approving spot exchange-traded funds (ETFs) tied to cryptocurrencies other than Bitcoin and Ethereum.

In a statement given during her interview with WSJ’s Take On the Week podcast, Wood talked about the probability of a spot ETF backed by a coin other than Bitcoin and Ether being listed in the U.S.

“We’d be surprised to see anything but bitcoin and ether being approved by the SEC,” Wood stated. ARK Invest is one of the asset management firms that seeks to offer a spot Ethereum ETF.

Additionally, Franklin Templeton, a firm reportedly with $1.5 trillion in assets under management (AUM), applied for a spot Ethereum application with the SEC on February 12.

Notably, Franklin Templeton has expressed intentions of staking ETH to generate additional income for the ETF, which, if approved, will be listed as “Franklin Ethereum ETF” on the Cboe BZX Exchange.

The SEC hasn’t made it clear whether it believes ETH is a security or a commodity. Interestingly, Prometheum, a U.S.-registered crypto securities platform, disclosed that Ethereum will be the first virtual asset it will manage for institutional clients. On the other hand, similar applications from BlackRock and Fidelity have been delayed by the SEC, which stated that it needs additional time to evaluate and make a decision on spot Ethereum ETFs.

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