The US Securities and Exchange Commission (SEC) has postponed its decision on the approval of options for spot Ethereum-based ETFs, marking the second postponement of the decision.
The SEC said in a statement Friday that it is extending the decision period to allow for further analysis and public input, specifically regarding the proposed rule change's compliance with Securities Exchange Act regulations.
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The agency also expressed concern about the potential impact of ETFs on preventing market manipulation, protecting investors and ensuring a fair trading system, which falls under Section 6(b)(5) of the Act.
The proposed rule change, filed in August by NYSE American LLC, Grayscale and Bitwise, seeks to list and trade options on three products-the Bitwise Ethereum ETF, the Grayscale Ethereum Trust and the Grayscale Ethereum Mini Trust-as well as any other trust holding Ether.