The U.S. Securities and Exchange Commission (SEC) has updated its website to include ProShares' filing for an Ethereum spot exchange-traded fund (ETF), marking a significant step towards listing on the New York Stock Exchange (NYSE). Despite the swift SEC action, the actual launch may be delayed.

ProShares, a prominent investment firm, is venturing into the crypto market with an Ethereum ETF that aims to track the price of Ethereum, the second-largest digital currency by market capitalization. The filing was made under the 19b-4 form, a crucial step in gaining regulatory approval. ProShares has chosen Coinbase Custody Trust Company as its custodian, ensuring compliance with regulatory rules and investor protection.

However, the ETF may not enter the market simultaneously with other competing products, suggesting a cautious approach due to the complex regulatory landscape governing digital assets. This development comes on the heels of approvals for eight other ETFs from industry giants like VanEck and BlackRock.

The SEC's decision timeline extends up to 90 days from the date of filing, placing the potential approval as early as July 2024. This timeline is crucial for market participants keenly observing the integration of cryptocurrency products into mainstream financial services.

In addition to the spot ETF, ProShares has introduced two Ethereum-linked futures ETFs, offering investors multiple ways to participate in the price changes of Ethereum with both long and short positions. However, the proposed spot ETF will not include Ethereum staking features, consistent with the SEC's guidelines prohibiting such elements in ETFs. This decision may impact investors seeking extra returns through staking rewards.

Meanwhile, Ethereum's price has been in a bearish rally in the last 24 hours, with prices fluctuating between $3,646 and $3,719. At press time, ETH was trading at $3,671, a 0.73% decline from the 24-hour high.