Gary Gensler, the head of the Securities and Exchange Commission (SEC), has expressed optimism that spot Ethereum ETFs (S-1) will be approved by the end of the summer. This announcement comes after previous speculations about the timeline for these ETFs to start trading. In addition to discussing Ethereum ETFs, Gensler also touched on the challenges posed by decentralized finance (DeFi) to anti-money laundering (AML) laws.

Gensler's prediction has sparked a range of reactions within the community. Speaking at a Senate Appropriations Committee Hearing, he mentioned the timeframe for approval, which Senator Hagerty appreciated. This prediction follows the approval of spot 19b-4 filings on May 23, which has led to speculation about when Ethereum ETFs will be listed.

The timeframe for listing ultimately depends on the issuers and their responsiveness to comments received. Analysts like Eric Balchunas have projected the first week of July for approval. Ethereum ETFs have gained significant attention in the industry, drawing institutional investors to the market. Following the approval of 19b-4 filings, Ethereum's price surged 22% and traded above $3,700. Despite a recent price correction, the market anticipates the future listing and expects a rally.

Gensler also discussed the challenges posed by DeFi to AML laws due to its permissionless nature. Global regulators have expressed concerns about the potential risks of illicit finance. Senator Hagerty advised the SEC to focus on regulatory clarity, and Gensler agreed that breaking the law or not liking something is different from a lack of rule clarity.