TLDR
The SEC has delayed decisions on ETFs tracking XRP (proposed by 21Shares) and Dogecoin (proposed by Grayscale)
These delays are part of a wave of pending decisions on altcoin ETFs, including recent Solana ETF delays
The SEC cited the need for “additional analysis” to ensure rules prevent fraud and protect investors
Multiple asset managers are pursuing altcoin ETFs following Bitcoin ETF success ($126B in assets)
Bloomberg analyst James Seyffart predicts no approvals before Q3, more likely early Q4
The U.S. Securities and Exchange Commission (SEC) has extended its review timeline for proposed exchange-traded funds (ETFs) based on XRP and Dogecoin, according to regulatory filings released Tuesday. The decision affects 21Shares’ XRP ETF application and Grayscale’s Dogecoin ETF proposal, both of which would trade on major U.S. exchanges.
The SEC stated it needs more time to determine if the proposed funds meet securities exchange rules “designed to prevent fraudulent and manipulative acts and practices” and “to protect investors.” The agency has opened formal proceedings and solicited public comments as part of its review process.
These delays follow a similar pattern of extended reviews for other cryptocurrency-based ETF proposals. Just one day earlier, the SEC postponed decisions on multiple Solana-tracking ETFs from issuers including 21Shares, Bitwise, VanEck, and Canary Capital.
Both 21Shares and Grayscale submitted their applications earlier this year. The 21Shares Core XRP Trust plans to track the CME CF XRP-Dollar Reference Rate with Coinbase Custody providing storage services. Grayscale’s proposed Dogecoin Trust would follow CoinDesk’s Dogecoin Price Index.
XRP, created by Ripple’s founders, currently ranks as the fourth-largest cryptocurrency by market capitalization. Dogecoin, a popular meme coin, holds the eighth position in the crypto market rankings.
Market Context and Timeline
The push for altcoin ETFs comes after the crypto industry secured major victories last year with the approval of spot Bitcoin ETFs and later Ethereum-based funds. According to CoinGlass data, Bitcoin ETFs have become the most successful products in the 32-year history of exchange-traded funds, accumulating over $126 billion in assets under management.
Bloomberg ETF analyst James Seyffart commented on the delays, noting they are “routine and expected.” He projected that if any approvals occur, they wouldn’t happen until “late June or early July at absolute earliest,” with early Q4 being more likely.
Delays on spot crypto ETFs are expected. A bunch of XRP ETPs have dates in next few days.
If we're gonna see early approvals from the SEC on any of these assets — i wouldn't expect to see them until late June or early July at absolute earliest. More likely to be in early 4Q.
— James Seyffart (@JSeyff) May 20, 2025
The SEC emphasized that these delays do not indicate its final position on the applications. The agency is accepting public comments within 21 days of Federal Register publication, with rebuttal submissions due within 35 days.
Expanding Crypto ETF Landscape
The altcoin ETF applications represent a growing trend in the investment product space. Following the success of Bitcoin funds, top asset managers including Bitwise, Franklin Templeton, and CoinShares have submitted applications for ETFs tracking various digital assets such as Litecoin, Cardano, SUI, and even Pengu.
The 21Shares XRP ETF application was filed last year via an S-1 form, while Grayscale submitted plans in January to convert its existing Dogecoin Trust into an ETF. Both companies already operate Bitcoin and Ethereum funds in the U.S. after receiving SEC approvals in 2024.
Trading venues for these proposed funds include Cboe for the 21Shares product and NYSE for the Grayscale offering. If approved, the ETFs would issue shares in 10,000-share blocks and hold only their respective digital assets.
The review extensions reflect the SEC’s cautious approach to expanding the cryptocurrency ETF marketplace beyond the already established Bitcoin and Ethereum products.
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