The SEC revealed that it will extend the 45-day deadline to review the NYSE Arca application to list and trade shares of the Truth Social Bitcoin and Ethereum ETF. The 45-day deadline was set for August 24.
However, with this decision, the Commission has until October 8 to decide whether to approve or disapprove the fund. The Division of Trading and Markets stated that the agency finds it appropriate to establish a broader timeline to take action on the proposed rule change.
Before October 8, the SEC will have to determine whether to approve or disapprove, or whether to initiate proceedings to determine whether to disapprove the proposed rule change to list and trade shares of the Truth Social Bitcoin and Ethereum ETF.
Donald Trump's company filed the application to offer this fund in June. Shortly thereafter, NYSE Arca filed form 19b-4 to list and trade shares of the fund, which initiated the review process.
The Truth Social ETF for Bitcoin and Ethereum will have a split allocation of 75% in Bitcoin and 25% in Ethereum. In this way, investors will be able to gain exposure to the two largest cryptocurrencies by market capitalization in a single fund. In addition to this fund, the company has also requested a Bitcoin ETF and a Blue Chip Cryptocurrency ETF, which will include BTC, ETH, SOL, XRP, and CRO.
It is worth noting that the Truth Social Bitcoin and Ethereum ETF will not be the first to offer investors exposure to both BTC and ETH. The SEC has already approved a similar fund for Hashdex and Franklin Templeton.