The SEC is developing a standardized framework to accelerate approval for spot crypto ETFs, including Solana and XRP.
A new listing format could reduce ETF approval time from 240 days to 75 days by eliminating the 19(b)4 form.
REX Financial and Osprey Funds launched a Solana ETF using an indirect structure, raising $12 million on its first day.
The U.S. Securities and Exchange Commission (SEC) is preparing a comprehensive framework that may speed up the approval process for spot cryptocurrency exchange-traded funds (ETFs). According to Reuters, the agency is working on new guidance that would apply across multiple digital asset products, enabling a more standardized path for listings. This marks the first significant step toward mass approval of ETFs connected to cryptocurrencies like Solana, XRP, and other altcoins.
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The updated guidelines reflect a broader shift in how the SEC engages with the growing crypto sector under current Republican leadership. In recent weeks, the agency has scaled back some ongoing enforcement actions and reassigned its crypto enforcement team. A new internal task force is also working on a regulatory update aimed at modernizing the agency’s treatment of crypto-related funds.
New Disclosure Rules Lay the Groundwork for Faster Approvals
On Tuesday, it is reported that the SEC issued a 12-page document outlining key disclosure requirements for crypto ETFs. Issuers must now clearly present essential information, including custody methods and competition risks, in plain English. The aim is to ensure transparency while reducing the processing time for fund applications.
Sources close to the matter said this document represents the first of multiple parts. The next document is expected to contain a new listing format that eliminates the need for a 19(b)4 form. Currently, this form is required for each separate product and requests exemptions from listing rules. Removing this step could reduce approval time from 240 days to 75 days.
Exchanges and asset managers reportedly expect this general filing template to be ready in the coming weeks. Nasdaq and Cboe did not comment on the ongoing regulatory talks, while the New York Stock Exchange did not respond.
Solana-Based Products Positioned as Front-Runners
ETFs tied to Solana are among those expected to be first in line once the new rules are finalized. Several issuers currently await decisions on Solana-based spot ETFs. However, no official launch is anticipated before early fall, pending the next set of SEC guidelines.
Despite the pending framework, REX Financial and Osprey Funds launched an ETF offering indirect exposure to Solana. This fund invests in a non-U.S. Solana fund and leverages staking to generate yield. It attracted $12 million on its first trading day, July 1.
REX CEO Greg King confirmed that the company intends to pursue a spot Solana ETP once regulatory approval is secured. King also stated that while progress has been made, the full structure has not yet been finalized. The SEC's new approach signals a regulatory shift with wide-reaching implications for crypto investment products. As frameworks evolve, issuers prepare for increased competition in a fast-developing ETF landscape.
