staking mechanism

HashKey Analyst: Ethereum spot ETF is expected to incorporate a staking mechanism, with the market size projected to reach 75% of Bitcoin spot ETF

ChainCatcher news, the U.S. Securities and Exchange Commission (SEC) has officially approved the 19b-4 forms for 8 spot Ethereum ETFs, with issuers including BlackRock, Fidelity, and Grayscale. Although the forms have been approved, ETF issuers need to wait for the S-1 registration statement to become effective before they can start trading. The SEC has just begun discussions with issuers regarding the S-1 forms, and it is currently unclear how long this process will take, but some analysts speculate it could take several weeks.HashKey Group's chief analyst Jeffery Ding believes that Ethereum is following the successful path of Bitcoin ETFs, with a promising outlook. More attractively, the Ethereum spot ETFs are expected to incorporate staking mechanisms, becoming income-generating assets. In the medium term, the market size for Ethereum spot ETFs is expected to reach 75% of that of Bitcoin spot ETFs.Additionally, Jeffery Ding believes that if the Financial Innovation and Technology Act (FIT21) is passed, it will transfer regulatory authority over digital currencies from the SEC to the Commodity Futures Trading Commission (CFTC). Given the CFTC's more favorable stance towards cryptocurrencies, it is possible that other cryptocurrencies may also apply to become spot ETFs in the future, leading the crypto industry towards the mainstream.
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