##  [# Ethereum ETF Approval Process 'Going Smoothly': Gensler](/sections/news/ethereum-etf-approval-process-going-smoothly-gensler) 

 

# Ethereum ETF Approval Process 'Going Smoothly': Gensler

 

 

SEC Chair reiterates concerns about fraud in the crypto industry in a Bloomberg interview.



 

 

 

 

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[By James Rubin](/authors/james-rubin)

 Jun 26, 2024

 Edited by: Ron Day

 

 

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Securities and Exchange Commission Chair Gary Gensler reassured crypto markets yesterday that the agency's review of spot Ethereum ETFs is on track.

Gensler [told](https://www.youtube.com/watch?v=0KGpPmDJKfM) a Bloomberg Invest audience that consideration of multiple proposals for spot Ethereum ETFs is "going smoothly," while in a separate Financial Times [interview](https://www.ft.com/content/6da67e76-8586-4e17-8852-3f32941cf51f) he signaled that the funds would soon begin trading.

"There's about to be a second," Gensler told the FT, referencing the funds that will depend on the ongoing price of ether, the cryptocurrency of the Ethereum blockchain.

***Read More:*** [***Gensler Sees Ethereum Spot ETF Approval This Summer***](https://www.etf.com/sections/news/gensler-sees-ethereum-spot-etf-approval-summer)

Gensler's comments come less than two weeks after he told a Senate subcommittee that approvals would occur this summer and roughly a month after the SEC [approved a rule change](https://www.etf.com/sections/news/spot-ethereum-etfs-approval-odds-jump-sec-moves) that represented the most significant obstacle to their listing on exchanges. The agency is currently communicating with the issuers about their S-1 disclosure statements, largely considered a formality. Bloomberg Senior ETF Analyst Eric Balchunas has predicted that the spot Ethereum ETFs would begin trading July 2.

The 19b-4 rule change addressed concerns about fraud and investor protections, longstanding issues for the agency that held up the wildly successful spot bitcoin ETFs that have generated $14.4 billion in inflows in six months.

## Gensler Ongoing Concerns

In his remarks at the Bloomberg conference in New York and to the FT, Gensler reiterated his worries about crypto investments.

"There are a lot of folks that are not living within our securities laws," Gensler said. "This is a field that's sort of built up on a non-complaint model. And it's not ticky tacky. It's about real protections for investors and for other people that want access to the capital markets."

***Read More:*** [***Spot Ethereum ETF Debuts Hinge on Fast Replies: Gensler***](https://www.etf.com/sections/news/spot-ethereum-etf-debuts-hinge-fast-replies-gensler)

In his interview with the FT, Gensler said the industry wasn't providing suitable public disclosures about projects, "insiders, and the conflicts insiders have."

He added that "the industry has got a lot of scam and fraud, and I think it’s not just a coincidence."

***ProShares Ether Strategy (EETH) 1-Month Price***

[![](/sites/default/files/inline-images/image_75.png)](/eeth)Gensler critics from the crypto industry who believe the SEC has been heavy-handed were quick to find fault with his comments Tuesday.

"Absolute nonsense coming from @GaryGensler today," wrote Brad Garlinghouse, the CEO of crypto protocol Ripple, [in an X post](https://x.com/bgarlinghouse/status/1805709954613203193).

Ether was trading flat on Wednesday at about $3,365, but it is off more than 6% over the past week, according to crypto data provider CoinMarketCap—part of a wider downturn in crypto markets.

 
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 [ James Rubin Contributing Editor ](/authors/james-rubin) 

 

 

  James Rubin is a contributing editor for etf.com, where he produces the Morning Exchange and Weekly Exchange newsletters. A longtime financial writer,…   [View Bio](/authors/james-rubin)

 



 

 


 Related Topics  [Ethereum](http://www.etf.com/topics/ethereum) 

 [Bitcoin](http://www.etf.com/topics/bitcoin) 

 [Crypto](http://www.etf.com/topics/cryptocurrency) 

 [Spot Bitcoin](http://www.etf.com/topics/spot-bitcoin)