A cryptocurrency whale has spent nearly $25 million buying up altcoins within the Ethereum ($ETH) ecosystem shortly after the U.S. Securities and Exchange Commission approved applications from major stock exchanges to list spot Ether exchange-traded funds (ETFs).

The whale’s accumulation was first spotted by on chain analysis service Lookonchain, who pointed out the whale used 26.67 million USDT tokens to acquire 8.733 ETH at $3.050 before the news came out.

The whale, upon hearing the SEC cleared the path for the listing of spot Ether ETFs in the United States, bought nearly $25 million worth of altcoins within the Ethereum ecosystem and is now sitting at an unrealized gain of over $1 million.

The whale deposited nearly 20 million USDt on leading cryptocurrency exchange Binance to then withdraw over 4 million LDO worth $9.3 million, over 680,000 UNI worth over $6.7 million, over 50,000 AAVE worth $5.4 million, and other altcoins.

As CryptoGlobe reported, however, former SEC Chairman Jay Clayton has said that the regulator’s approval of 19b-4 filings for several spot Ether ETFs is just an initial stage in the approval process.

Per his words the second stage involves the approval of the ETF issuer’s registration statement (e.g., Form S-1 or Form N-1A). The registration statement is a disclosure document that provides detailed information about the ETF, including its investment objectives, strategies, risks, and fees.

The SEC reviews the registration statement to ensure that it complies with the Securities Act of 1933 and the Investment Company Act of 1940, and that it provides adequate disclosure to investors. If the SEC approves the registration statement, the ETF issuer can proceed with launching the product and making it available for trading on the approved exchange.

It’s important to note that the approval of the 19b-4 filing does not guarantee the approval of the registration statement, and vice versa. The ETF issuer must successfully navigate both stages of the approval process before the ETF can be launched and traded in the market.

Featured image via Pixabay.