In a recent chat on social media, Billy Markus, one of the creators of Dogecoin, shared his thoughts on the upcoming decision by the SEC about Ethereum-based exchange-traded funds (ETFs). In response to a doubtful comment about the fate of these ETFs, Markus sounded similarly pessimistic, suggesting that the current state of the regulator doesn’t bode well for their approval.
Markus’s statement comes at a time when there’s a lot of attention on Ethereum’s legal status in these discussions about ETFs. Financial lawyer Scott Johnsson recently suggested that how Ethereum is legally classified will play a big role in the SEC’s decisions on ETFs. He pointed out the SEC’s hesitance to approve commodity trust shares for Ethereum, citing concerns about its similarity to securities, which Bitcoin ETFs haven’t faced.
The upcoming decision dates for VanEck and ARK Invest’s Ethereum ETF applications, scheduled for May 23 and May 24 respectively, which are just around the corner, have fueled speculation in the crypto world. Despite predictions of rejection due to Ethereum’s regulatory issues, the exact reasons for the potential rejection from the SEC are still unclear.
Markus’s comments contribute to the doubts about the future of Ethereum ETFs, echoing the general skepticism in the cryptocurrency community about regulatory challenges.
There are lingering questions about how much regulatory hurdles will hinder the widespread adoption of Ethereum and other cryptocurrencies, and whether there will be other investment opportunities available.
There’s also ongoing debate about whether the current regulatory framework is effective and fair, with some advocating for clearer guidelines while others criticize what they see as excessive regulation.
