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Justin Sun, the popular entrepreneur who founded the Tron blockchain, has recently voiced his opinion on the Ethereum ETFs. As per Sun, the current scenario around the authorization of the Ethereum exchange-traded funds is not very optimistic and the authorities won’t approve them in May. The famous entrepreneur took to its official X account, saying that the crypto market still requires significant preparation.
My honest opinion (NFA) is that an Ethereum ETF won't be approved in May. The crypto industry still needs to prepare for a long-term education with regulators, focusing on helping them understand crypto. But we've always been here, haven't we?
— H.E. Justin Sun 孙宇晨 (@justinsuntron) April 28, 2024
Justin Sun of Tron Says the Regulators Won’t Approve $ETH ETFs in May This Year
In his recent post, Sun noted that several factors need the provision of proper information for the crypto market’s progress. Especially in the case of the regulatory landscape, he added, the industry has to spread adequate information concerning crypto. This would potentially contribute to enlightening the regulatory agencies for better decisions in the future.
While further explaining his point, the entrepreneur discussed the efforts of the crypto community members. He asserted that the entire industry has been endeavoring to make the regulators understand the potential of this sector. However, he made one thing clear the market is currently far from getting instant approval for the Ethereum ETFs.
DTCC’s Listing of Franklin Templeton Application Doesn’t Ensure the ETF Approval by the SEC
On the other hand, the Depository Trust and Clearing Corporation has officially listed the spot ETF application of Franklin Templeton. Nonetheless, the respective listing does not ensure the authorization of the spot ETH ETF application by the US SEC. Normally, the DTCC lists the qualified securities on its website for settlement and trading. They take into account the exchange-traded funds that have accomplished certain compliance and registration procedures.
The United States Securities and Exchange Commission has postponed the decision for the ETF application of Franklin Templeton till June 11. This grants the agency to prolong the evaluation period for another 45 days before the decision. Additionally, top players like ARK Invest, VanEck, BlackRock, and Grayscale are also competing to get approvals for spot ETH ETFs. Hence, despite the speculations, it remains to be seen if the regulator will approve the ETH ETFs anytime soon.