SEC Delays Decisions on Crypto ETFs: What You Need to Know
On April 29, the U.S. Securities and Exchange Commission (SEC) announced a delay in the decisions regarding five applications for crypto-related exchange-traded funds (ETFs). This development has been anticipated by Bloomberg ETF analysts James Seyffart and Eric Balchunas. The ETF applications affected include Franklin Templeton’s spot ETFs for Solana (SOL) and XRP, Grayscale’s spot Hedera (HBAR) ETF, the Bitwise spot Dogecoin (DOGE) ETF, and the staking provisions linked to Fidelity’s spot Ethereum (ETH) ETF. These delays underline the ongoing complexities surrounding crypto regulation in the financial landscape.
Seyffart pointed out that such delays are part of the regulatory environment surrounding cryptocurrencies, stating, “This is expected IMO.” He indicated that final deadlines for many of these applications are set for October 2025 or later. Moreover, he noted that investors should brace for potential further delays in the upcoming weeks, as approximately 72 crypto ETFs are still awaiting SEC approval. This landscape raises questions about the SEC’s timeline and approach to crypto regulation, particularly as the financial market continues to evolve.
Balchunas further emphasized that the SEC is unlikely to make any substantial decisions until Chair Paul Atkins officially assumes office. Since this transition has recently occurred, the newly appointed chair and his team are likely strategizing on how to approach these applications. Balchunas mentioned, “They’ve been taking outside meetings with people. Probably coming up with a strategy. After that, likely approvals.” The SEC’s process underscores the wider implications for crypto investment and market sentiment as analysts and stakeholders wait for clearer signals from regulatory decision-makers.
Typically, SEC decisions on crypto ETF applications are governed by statutory deadlines categorized into different time frames: 45, 90, 180, and 240 days post the submission of a 19b-4 filing in the Federal Register. The recent delays for the aforementioned products have effectively extended the review periods, allowing for further evaluation without outright denials. This mechanism has become a key element in the SEC’s strategy, reflecting a cautious approach as the regulatory environment evolves.
The updated approval timelines indicated specific final decision deadlines for the affected ETFs. For instance, the Franklin Spot XRP ETF now has a final ruling date set for November 5, 2025, while the Franklin Spot Solana ETF is slated for an October 7, 2025 decision. Likewise, both the Grayscale Hedera ETF and the Bitwise Dogecoin ETF face deadlines of October 8, 2025. Additionally, the Ethereum staking provisions associated with Fidelity are still pending, having completed initial stages as of April 2025. This calendar of deadlines provides a roadmap, albeit an uncertain one, for investors navigating the crypto market.
In conclusion, the SEC’s decision to delay judgments on these crypto ETF applications reflects the ongoing complexities and uncertainties surrounding cryptocurrency regulation. Stakeholders must remain vigilant as the market awaits the regulatory clarity that could significantly impact the future of crypto investments. As the SEC continues its scrutiny and evaluation, investor sentiment and market dynamics will likely shift, making this an essential area to monitor in the coming months. As the landscape of digital finance evolves, the SEC’s actions will be crucial in shaping the future of cryptocurrency investment in the United States.
