While there is evidence suggesting the SEC is likely to postpone the approval of spot Ether ETFs, Hong Kong is set to begin trading its own spot Ether ETFs next week.

A recent report indicates that the U.S. Securities and Exchange Commission (SEC) is expected to deny Ether spot ETFs in May

Reuters reported on April 24 that, according to four sources involved in recent discussions, U.S. issuers and other companies expect the SEC to deny spot Ether ETF applications next month.

These four individuals, requesting anonymity due to the private nature of the discussions, described the recent meetings with the SEC as one-sided, noting that the agency staff avoided discussing substantive aspects of the draft products.

Those sources compared the fruitless Ether ETF discussions to the detailed negotiations in January between issuers and the SEC, which preceded the agency’s approval of spot Bitcoin ETFs.

Before this landmark approval, the SEC had rejected filings for spot BTC ETFs for over a decade. It only changed its stance when, in August 2023, Grayscale Investments won a court victory against the securities regulator.

Numerous analysts agree that the SEC is likely to further delay the potential approval of Ether ETFs

While the U.S. is headed for further delay, some countries have been developing plans to initiate ETF trading.

On April 24, Hong Kong’s Securities and Futures Commission (SFC) formally authorized the first batch of spot Bitcoin and Ether ETFs, including three BTC ETFs and three ETH ETFs from China Asset Management (ChinaAMC), Harvest Global Investments, and Bosera.

Once approved, the Hong Kong cryptocurrency ETFs are estimated to begin trading on April 30.