SEC delays decision on Bitcoin (Truth Social) and Solana (Grayscale) ETF funds

The U.S. Securities and Exchange Commission (#SEC ) has postponed its decision to approve or deny Bitcoin and Solana-related ETF funds, continuing to show the agency's caution towards investment products related to cryptocurrency.

New deadline and reason for delay

According to separate filings released on Monday, the SEC will need more time to decide whether to allow the Truth Social Bitcoin ETF to trade, and whether to approve the conversion of the Grayscale Solana Trust into an ETF.

The new deadline for the Truth Social Bitcoin Fund #ETF is September 18, while the Grayscale Solana Trust will have a decision on October 10. The SEC explained that the delay is necessary to have sufficient time to review the proposed rule change and related issues.

Under the Securities Exchange Act of 1934, the SEC has 180 days to make a decision from the time the proposed rule change is published, although this deadline can be extended. This delay occurs amid the SEC's broader review of cryptocurrency-based ETF applications. Although the agency has taken a friendlier stance towards crypto in recent months, it continues to remain cautious.

Pending applications include ETFs related to Solana, XRP, and themed tokens $TRUMP and Dogecoin. The SEC regularly extends approval deadlines for ETFs and proposed amendments to existing funds, as part of their normal review process.