The U.S. Securities and Exchange Commission (SEC) announced on Monday that it has decided to extend the review period for the listing proposal of Trump Media Group's 'Truth Social Bitcoin and Ethereum ETF' in order to take more time to carefully evaluate it. The review results will now be announced on October 8 of this year.
This is not an isolated case. The SEC has also simultaneously postponed the review of multiple cryptocurrency asset ETFs, including the Grayscale, CoinShares, Canary Capital, Bitwise, and 21Shares proposed Ripple (XRP) spot ETF, as well as Grayscale's Dogecoin (DOGE) spot ETF and CoinShares' Litecoin (LTC) spot ETF. Additionally, 21Shares' proposal to add a 'staking' feature to the Ethereum Core ETF has also been delayed.
The wave of cryptocurrency ETFs is coming; the SEC is proceeding cautiously.
This delay follows the SEC's decision last week to postpone the review of the Solana (SOL) spot ETF and another 21Shares Dogecoin ETF, indicating that the SEC is taking a more cautious approach in the face of a recent influx of cryptocurrency ETF applications.
The key driving this wave is the impressive performance of Bitcoin and Ethereum spot ETFs in the U.S. market, igniting significant interest from traditional financial giants and institutional investors. Since the Trump administration took office, the policy environment in Washington has also noticeably shifted to be 'relatively friendly', further fueling market expectations for new products.
Exchanges pushing for system reforms; automatic listings may become a turning point.
It is worth noting that just before this wave of delays occurred, the two major U.S. exchanges, Cboe BZX and NYSE Arca, officially proposed to the SEC to amend listing standards to allow certain cryptocurrency ETFs to be automatically listed without the need for case-by-case applications, thereby eliminating the lengthy 19b-4 review process. Under current regulations, the rule change review for each ETF can take up to 240 days.
Bloomberg ETF senior analyst Eric Balchunas pointed out that the SEC's delay this time is 'not bad news'; rather, it may be to connect with the upcoming end of the comment period, and once the amendments from Cboe and NYSE are approved, a 'wave of cryptocurrency ETF listings' is expected to begin in October.
He emphasized: 'Although it seems like a delay now, it is actually just waiting a little longer; the market will soon welcome a batch of approvals.'
"The U.S. SEC has once again postponed its decision! The approval of the 'Truth Social Bitcoin and Ethereum ETF' has been delayed until October" was first published in (BlockVoice).
