Crypto Whale Spends $25M on Ethereum Altcoins After SEC Cleared Path for Spot Ether ETFs

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As a seasoned crypto investor with a keen eye for market trends and regulatory developments, I’ve been closely monitoring the Ethereum ecosystem and the SEC’s decision regarding ETH ETFs. The recent approval of 19b-4 filings by the SEC has sparked renewed interest in the space, with major players making significant moves.

A significant investor in cryptocurrency, often referred to as a “whale,” has purchased approximately $25 million worth of altcoins within the Ethereum network. This transaction took place soon after regulatory approval from the U.S. Securities and Exchange Commission (SEC) for major stock exchanges to list Ether exchange-traded funds (ETFs).

A large-scale investor’s cryptocurrency transactions were initially detected by the on-chain analysis platform Lookonchain. This investor employed approximately 26.67 million USDT tokens to purchase around 8.733 ETH for roughly $3.050 each, prior to public announcements regarding the news.

A whale, after learning that the SEC gave approval for trading spot Ethereum ETFs in the US market, purchased approximately $25 million worth of coins belonging to other cryptocurrencies within the Ethereum network. Now, this investor is enjoying an unrealized profit of more than a million dollars.

A whale, or large cryptocurrency investor, transferred approximately 20 million USDt to Binance and subsequently withdrew around $9.3 million in LDO tokens, over $6.7 million in UNI tokens, more than $5.4 million in AAVE tokens, and significant amounts of other altcoins.

Prior to the announcement about Ethereum ETFs, a large investor, referred to as a whale, spent $26.67 million on purchasing approximately 8,733 Ethereum (ETH) tokens at an average price of $3,054.56. Currently, this investment has an unrealized profit of around $6 million.Following the Securities and Exchange Commission’s (SEC) approval of Form 19b-4 for Ethereum ETFs, the same whale invested a total of $24.7 million in various tokens within the Ethereum ecosystem. At present, this investment has an unrealized profit of about $1.1 million.— Lookonchain (@lookonchain) May 25, 2024

According to a report from CryptoGlobe, Jay Clayton, who previously led the Securities and Exchange Commission (SEC), has indicated that the SEC’s acceptance of 19b-4 filings for various spot Ethereum ETFs represents only an early step in the approval process.

As a crypto investor, I can tell you that the second phase in the process of getting a Bitcoin ETF approved involves the securities regulatory commission’s review and approval of the ETF issuer’s registration statement. This document, which can be filed using forms like S-1 or N-1A, is crucial as it lays out all the important details about the proposed ETF, such as its investment goals, methods, potential risks, and fees for investors to consider before making an informed decision.

As a crypto investor, I understand that before an Exchange-Traded Fund (ETF) can be launched and made available for trading, its registration statement must undergo a thorough review by the Securities and Exchange Commission (SEC). This process is crucial as it ensures that the statement conforms to the Securities Act of 1933 and the Investment Company Act of 1940. Additionally, the SEC scrutinizes the statement to guarantee adequate disclosure for potential investors. If the SEC deems the registration statement satisfactory, they will grant their approval, enabling the ETF issuer to proceed with the product launch on an approved exchange.

As a crypto investor, I want to emphasize that the acceptance of a 19b-4 filing is not a guarantee for the subsequent registration statement approval, and the reverse is also true. The ETF issuer faces the challenge of passing through both stages of the regulatory process in order to eventually launch and trade their ETF in the market.

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2024-05-29 01:21