#AltcoinETFsPostponed

The SEC's delay in considering crypto-ETFs is, on one hand, a manifestation of a careful approach, and on the other, a symptom of deeper indecision, especially regarding altcoins. Here's how this can be broken down:

1. Diligence and Legal Caution:

The SEC operates within a mandate to protect investors and ensure transparency. Crypto-ETFs—especially those based on altcoins—require more complex evaluation:

Liquidity and market manipulability remain significant concerns.

Difficulties with regulatory classification: not all altcoins are recognized as commodities (like Bitcoin or Ethereum), some fall under the criteria of "securities," which poses challenges.

2. Indecision Regarding Altcoins:

The SEC is clearly more open to Bitcoin, as evidenced by the approval of spot BTC ETFs in early 2024. In contrast:

Ethereum, while looking promising, is still being discussed in terms of its legal status.

Smaller altcoins (Solana, Cardano, etc.) are not only not approved by the SEC but are also explicitly classified as unregistered securities in lawsuits against exchanges.