`SEC Hits Pause Button on Dogecoin, Hedera, and Avalanche ETF Proposals
The U.S. Securities and Exchange Commission (SEC) has announced a delay in decisions for several crypto exchange-traded fund (ETF) proposals, casting a shadow of doubt over their immediate approval. According to filings published this week, the SEC is postponing its verdict on three specific ETF applications: those for Dogecoin ($DOGE), Hedera ($HBAR ), and Avalanche ($AVAX ).
These proposals, filed by Bitwise, Grayscale, and VanEck earlier this year, aim to launch spot ETFs directly backed by DOGE, HBAR, and AVAX, which would provide investors with regulated access to these assets if approved. However, the SEC stated it requires more time to assess the proposals, citing concerns around investor protection and market integrity. The regulatory commission noted it is opening proceedings to allow for further in-depth analysis of whether these ETFs meet legal standards.
While this isn't an outright rejection, the SEC's move sharply contrasts with recent industry expectations. Earlier this week, Bloomberg analyst James Seyffart had placed the odds of approval for each of these assets around a high 75% to 80%, fueled by reports of positive engagement between the commission and the issuers. This delay highlights the continued cautious approach of regulators toward direct crypto exposure in traditional financial products.
