Coinbase has engaged in discussions with the Securities and Exchange Commission (SEC) regarding the proposed Ethereum Spot ETF by Grayscale.
Strategic Meetings Between Coinbase, Grayscale, and the SEC
During a meeting with SEC officials, Coinbase, accompanied by lawyers from Davis Polk representing Grayscale, argued in favor of an Ethereum Spot ETF.
Coinbase argued that shares of a potential Ethereum Spot ETF should be considered on the same level as those based on commodities, similar to existing Bitcoin Spot ETFs.
The company also claimed that ETH spot markets demonstrate strong resilience against fraud and manipulation, and are considering implementing a surveillance sharing agreement with the CME to strengthen safeguards against such practices.
Perspectives and Analysis from Experts
However, this meeting does not necessarily signal a positive future, according to Eric Balchunas, Senior Analyst at Bloomberg. The lack of official commentary from SEC personnel thus far raises concerns among industry experts, despite the data presented by Coinbase highlighting the robustness of Ethereum futures and spot markets comparable to those of Bitcoin.
Earlier this week, the SEC postponed its decision regarding the Ethereum Spot ETF requests from BlackRock and Fidelity, a delay anticipated by experts who believe the SEC will rule on these ETFs in May.
