The U.S. Securities and Exchange Commission (SEC) has postponed its decision to approve Franklin Templeton's physical Ethereum exchange-traded fund (ETF), originally scheduled for May, until a new deadline of June 11.
The SEC also extended the agency's deadline for a decision on Grayscale's Spot Ethereum ETF application to June 23.
Meanwhile, the SEC is seeking public feedback on BlackRock's revised ETF proposal, which includes a cash redemption model that is a change from the original Ethereum direct exchange mechanism.
BlackRock's proposal, originally filed in November 2023, was revised to reflect the previously approved cash redemption feature for Bitcoin ETFs and to better align with the SEC's regulatory framework.
The SEC has maintained a cautious approach to crypto ETFs, despite approving spot Bitcoin ETFs earlier this year.
Approved in January, the Bitcoin ETF has since provided investors with a regulated means of trading the cryptocurrency, with cumulative net inflows of US$12.42 billion.
Potential approval of the Ethereum ETF would give investors access to the second-largest cryptocurrency by market capitalization, and would be another step in integrating digital assets into traditional investment portfolios.
