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SEC Approves Long-Awaited Ethereum Spot ETF; ETH Network Record Big Moves 

Abigail Michelle

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 The United States Securities and Exchange Commission (SEC) has finally given the green light to the applications from Nasdaq, CBOE, and NYSE to approve Ethereum spot ETFs. The latest announcement implies that US crypto investors can now freely “list and trade shares of ether-based exchange traded-products.”

Mirroring the success of the Bitcoin ETF, the Ethereum ETF’s approval is likely to inject liquidity and legitimacy into the ETH network. This milestone will expedite Ethereum’s entry into traditional financial markets, unlocking new opportunities for investors and paving the way for increased adoption and growth.

Ethereum Spot ETF Will Increase ETH Demand

According to Ethereum co-founder and Consensys CEO Joe Lubin, the approval of the spot ETF will push more buyers into the market, creating a high demand for ETH, which will, in turn, result in the token’s shortage.

The period preceding the approval of the ETH ETF has been marked by uncertainty, with market participants speculating on the SEC’s likelihood of approving filings. A month back, some of the firms that issued filings for the approval of the ETF expected that the SEC would deny their applications.

However, a few days before the date of approval, the SEC took a significant turn that was leaning toward the positive side. The SEC sought that exchanges seeking to list or trade the spot ether ETFs expedite the filing of their 19b-4 applications. 

Investors held high expectations because the 19b-4 applications were essential documents to complete following the SEC’s approval of any new products or revisions to existing rules.

Whales Move $20+m and $112m Worth of ETH.

While the market speculated on the SEC’s likelihood of approving the filings for the ETH spot ETF, a tweet showed big movements on the network.

According to the tweet, 5 wallets on the Coinbase platform transferred $ETH worth over $20 million to new wallets in a matter of minutes. Another wallet holder bought 30000 ETH worth about $112m from the Coinbase platform to self-custody.

Could the whale movements on the ETH network some hours before the approval of the ETH ETF be a signal of a potential surge into the network, as predicted by its co-founder Joe Lubin?