The SEC won't approve any ETF's, regardless of how secure/trusted/safe it is for investors. If you look at the underlying reason for that, which is that the entire crypto market is driven by Asian demand, there is no way that we'll see anything change for the better in that regard. The SEC basically wants highly regulated exchanges within the US to be the main market makers, and that's near impossible, at least in the short to mid term.

What people tend to forget is that Coinbase has already a coin backed product (Coinbase Index Fund) available for institutions to invest in, but they aren't biting (yet). It has a pretty steep entry point of $250,000 but that shouldn't be used as an excuse as to why this product isn't generating more institutional interest. Perhaps that during the next leg up we'll see it gain more popularity, but till that time, there is not much demand.