Gary Gensler Addresses Court Ruling and ETH ETFs Delay

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Gary Gensler, in his latest interview with Bloomberg, has spilled the beans on the SEC’s take on the Federal court’s rejection of new regulation and controversy related to the delay in ETH ETFs. 

Here’s the story in detail!

Earlier this month, a federal court struck down a new regulation imposed by the US SEC. The regulation aimed to force hedge funds and private equity firms to disclose more information about their fees and expenses to investors. The decision was made by a three-judge panel from the 5th US Circuit Court of Appeals in New Orleans, which ruled that the SEC had overstepped its authority.

Gensler’s Response

SEC Chair Gary Gensler addressed the court’s ruling during an interview at the Bloomberg Invest event in New York. He emphasized the importance of adhering to legal boundaries and court interpretations.

“We do everything within the law and how courts interpret the law,” Gensler stated. He also said the agency may change tactics after the court’s ruling.

Gensler highlighted that the SEC’s goal was to ensure transparency for investors in hedge funds and private equity firms.

“At the core, what we were seeking to achieve as a commission was greater transparency to investors, not to the public, but the investors in these funds,” he explained.

Are Ether-based ETF Applications Coming in Summer?

Gensler also provided an update on the SEC’s review of applications for US ETFs investing directly in the Ether token. He noted that the review process was “going smoothly” but did not specify when a final decision would be made. Companies like VanEck, ARK Investment Management, BlackRock Inc., and Fidelity Investments are among those awaiting approval for their Ether-based ETFs. 

Meanwhile, the review of Ether-based ETF applications continues without major issues, suggesting a potential green light shortly. With the news, Ethereum’s price rose to $3,412 after a 3.26% increase in the last 24 hours.