JPMorgan Believes SEC Will Approve Spot Ethereum ETFs

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According to JPMorgan analyst Nikolaos Panigirtzoglou, the US Securities and Exchange Commission (SEC) is expected to approve spot exchange-traded funds (ETFs) based on the second largest cryptocurrency by capitalization.

Panigirtzoglou stated that if the SEC does not approve spot Ethereum ETFs in May, there will most likely be a lawsuit. Based on previous cases, the analyst believes that the SEC will eventually approve the ETFs, but not until later this year.

This comes after JPMorgan’s initial forecast in February, which estimated a 50% probability of spot Ethereum ETFs being registered.

However, other analysts have since lowered their expectations, with Bloomberg’s Eric Balchunas decreasing the likelihood to 35% and market maker GSR estimating it at 20%.

The SEC is currently seeking public comment on potential spot Ethereum ETFs from companies like Grayscale, Fidelity, and Bitwise. ConsenSys, the company behind the MetaMask crypto wallet, has also submitted a letter to the Commission encouraging them to approve spot Ethereum ETFs.