JPMorgan remains optimistic about the SEC approving spot Ethereum ETFs, despite initially giving it less than a 50% chance by May.
Nikolaos Panigirtzoglou believes a potential litigation process, if approval isn’t granted, could eventually lead to approval, drawing parallels to past legal battles. Despite SEC investigations into the Ethereum Foundation and discussions on classifying ETH as a security, Panigirtzoglou maintains a 50% chance for May approval.
Earlier this week, Panigirtzoglou and his team pointed out in a report that Lido Finance’s efforts to address Ethereum’s centralization issues, including its decreasing market share, suggest that ETH may steer clear of being classified as a security in the future.
JPMorgan’s recent report highlights Ethereum’s decreasing centralization concerns, potentially impacting its security classification. However, analysts like Bloomberg’s Eric Balchunas have lowered their optimism for May approval.
The SEC is currently reviewing spot ETH ETF applications from Fidelity, Grayscale, and Bitwise, with comments due later this month.
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