Ethereum Spot ETF Approval Probability Over 90%, Says 10X Research

IconCryptoNewsTerminal Staff23 May, 2024

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Ethereum Spot ETF Approval Probability Over 90%, Says 10X Research

10X Research Predicts High Likelihood of Ethereum Spot ETF Approval According to a recent report by cryptocurrency market analysis firm 10X Research, the probability of the U.S. Securities and Exchange Commission (SEC) approving an Ethereum (ETH) spot ETF has exceeded 90%. The analysis is based on the narrowing discount rate of Grayscale's Ethereum trust ETHE, which has dropped from 30% to 8% in the past week. A smaller discount rate indicates a higher probability of spot ETF approval, suggesting a 90% chance of approval. SEC Decision on VanEck's ETF Looms The report highlights the significance of the SEC's upcoming decision on VanEck's Ethereum spot ETF. The deadline for their decision is the 23rd. In previous cases, SEC Chairman Gary Gensler has issued warning messages via Twitter regarding cryptocurrency investments prior to ETF approvals. Should a similar warning be issued today, it could be seen as a positive sign for the approval of the ETH spot ETF. Potential Impact of ETF Approval The approval of an ETH spot ETF could lead to capital outflows as investors cash out their holdings in the ETHE trust, which currently has $11 billion in assets under management.

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