The advent of Ethereum exchange-traded funds (ETFs) is on the horizon. Multiple sources acquainted with the proceedings have divulged to Reuters that the Securities and Exchange Commission (SEC) has sanctioned the inception of ETH ETFs, with trading anticipated to commence as early as next Tuesday, July 23.

This progression ensues from the SEC’s resolution to apprise at least one ETF issuer that no additional commentary is requisite on their freshly lodged S-1 documentation. These finalized documents must be submitted by Wednesday, July 17.

Market Impact and Institutional Influx Anticipated

The forthcoming debut of ETH ETFs has already catalyzed a notable uptick in market activity. Ethereum’s valuation ascended by 7.3% on Monday, reaching $3,472, outstripping Bitcoin’s 6% increment, as investors foresee augmented institutional engagement in the second-largest cryptocurrency. Concurrently, market indices registered significant growth.

Projections for Substantial Inflows

Industry connoisseurs are forecasting considerable capital influx into ETH ETFs. Gemini anticipates up to $5 billion in net inflows within the initial six months post-launch, while Steno Research projects an astounding $20 billion within a year.

Read more: Top 10 Intriguing Ways the Launch of US Ether ETFs Affect Ether Futures Open Interest

SEC Extends Preliminary Approval to Multiple ETH ETF Issuers

Augmenting the optimistic sentiment, Reuters also disclosed that the SEC has conferred “preliminary approval” to at least three asset managers for their spot Ether ETFs. BlackRock, Franklin Templeton, and VanEck are reportedly among the firms that have received this initial endorsement.

While definitive approval hinges on the submission of final offering documents by the week’s end, the industry remains buoyant about the prospect of a concurrent launch for multiple ETH ETFs, emulating the SEC’s methodology with spot Bitcoin ETFs.

Matt Hougan, Bitwise’s chief investment officer, prognosticated that ETH ETFs could attract up to $15 billion in inflows within the first 18 months of trading, paralleling the inflows observed by spot Bitcoin ETFs since their launch six months ago.

Enhanced Legitimacy and Accessibility for Ethereum

The potential listing of ETH ETFs on prominent exchanges such as Nasdaq, New York Stock Exchange, and Chicago Board Options Exchange is expected to further legitimize Ethereum and amplify its accessibility to traditional investors.