The future of spot Ether exchange-traded funds (ETFs) could be decided this week by a crucial vote from Gary Gensler, the chair of the United States Securities and Exchange Commission (SEC).
Historical Context and Key Vote
In January, the approval of spot Bitcoin ETFs was determined by a five-member SEC panel. Crypto-friendly Commissioners Hester Peirce and Mark Uyeda voted in favor, while Commissioners Caroline Crenshaw and Jaime Lizárraga voted against. Gensler’s deciding vote led to the approval of the Bitcoin ETFs with a 3-2 majority on January 10, 2024.
Current Situation: Ether ETF Vote
This week, the same five SEC Commissioners are set to vote on VanEck’s spot Ether ETF on May 23. Here’s a closer look at each commissioner and their potential influence on the decision.
Hester Peirce
Nicknamed “Crypto Mom,” Hester Peirce is known for her bullish stance on digital assets and her advocacy for decentralization in the financial system. Although she hasn’t confirmed her vote on the spot Ether ETFs, her involvement in the Ethereum community, including her attendance and speeches at ETHDenver in Colorado, suggests potential support.
Peirce has criticized the SEC’s oversight of the cryptocurrency industry, labeling some of its approaches as “unproductive” and “pointless.”
Caroline Crenshaw
Caroline Crenshaw is a vocal critic of the cryptocurrency industry and was a strong dissenter in the spot Bitcoin ETF decision. She argued that spot Bitcoin ETFs would be susceptible to fraud and market manipulation, thus failing to protect U.S. investors.
Crenshaw remains skeptical about spot crypto ETFs, citing the lack of systemic oversight and regulation in international trading venues. Her previous comments indicate she is likely to oppose the spot Ether ETFs.
Mark Uyeda
Mark Uyeda, alongside Peirce, has criticized the SEC’s “regulation by enforcement” approach toward the cryptocurrency industry. He opposed the SEC’s decision to deny a Coinbase petition last December and has called for clearer rules to govern the industry.
Uyeda voted to approve the spot Bitcoin ETFs but expressed concerns about the SEC’s decision-making process. His stance suggests he may support the spot Ether ETFs as well.
Jaime Lizárraga
While the article did not provide specific details on Jaime Lizárraga, it can be inferred that, given his previous vote against the spot Bitcoin ETFs, he may also oppose the spot Ether ETFs.
Also Read: House Chair McHenry Slams SEC’s Gensler for Dodging Ethereum Questions
The Deciding Vote: Gary Gensler
Given the voting patterns, Gensler’s vote could again be decisive. If he aligns with Peirce and Uyeda, the spot Ether ETFs could be approved with a 3-2 majority, similar to the spot Bitcoin ETFs.
The decision on VanEck’s spot Ether ETF will reveal much about the SEC’s current stance on cryptocurrency regulation and the future of digital assets in the U.S. financial system.
Pump.fun did not respond to a request for comment. The private intelligence firm reported to be involved in locating Dunn did not immediately respond to a request for comment.
