Capping what appears to be a reversal of fortunes, spot Ethereum ETFs were approved by the U.S. Securities and Exchange Commission on Thursday, a move that comes after shifting political sentiments appeared to influence the agency's view of the new financial instruments.

"We expect the improved political backdrop will lead to further victories for digital asset investors and developers, via new laws and in the courts, that draw investment to bitcoin, ethereum and other open-source blockchain software," VanEck's Head of Digital Assets Research Matthew Sigel posted to X immediately after the announcement.

Along with BlackRock, Grayscale and Fidelity, VanEck is one of the firms that applied for the right to issue spot Ethereum ETFs.

"It’s a historic move that puts the spotlight on the …