The SEC is seeking public comment on how to regulate a new category of ETFs, including products linked to crypto assets and on-chain mechanisms.
This move shows that the U.S. Securities and Exchange Commission is considering how new ETF structures fit within the existing securities regulatory framework, rather than focusing only on traditional ETFs.
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SEC wants to solicit feedback on ETFs that go beyond the structure of traditional stocks and bonds.
The scope of review includes ETFs related to crypto, directly held digital assets, and settlement designs on-chain.
This process may affect how the SEC builds regulations, but it does not mean approving any product.
The SEC is seeking input on which types of ETFs
The SEC is considering ETF structures that no longer fit neatly within the traditional fund category. This group includes products that hold digital assets directly, use on-chain settlement mechanisms, or create exposure to the crypto market through a new wrapper design.
This is an official step in the rulemaking process. Input from the market, issuers, investors, and relevant parties could influence how the SEC shapes future guidance or proposed rules.
A broader comment scope than a single product indicates the SEC is considering the entire wave of new ETFs rather than only one type of asset. This approach also reflects the regulator’s continued effort to seek feedback on the regulation of trading crypto assets.
Why crypto and on-chain ETFs have become the focus
Crypto and on-chain ETFs are clearly different structures from traditional stock ETFs. Unlike funds that hold equities or bonds through familiar custody and clearing systems, crypto ETFs raise questions about custody, valuation, and market surveillance.
On-chain structures are even more complex because the assets or payment mechanisms occur directly on the blockchain. This creates a regulatory gap that existing rules were not designed to address adequately.
The SEC’s decision to put this product group under public comment does not mean approval or rejection of any filing. At this point, it mainly signals that the regulator wants a clearer evaluation framework before handling new ETF proposals.
How could issuers and investors be affected
For ETF issuers, the comment period is an opportunity to present views on custody standards, disclosure requirements, and market structure. Detailed comments may affect the boundaries the SEC sets for products allowed to enter the market.
Investors could benefit if the regulatory framework becomes clearer. When rules are better defined, uncertainty about which products may be listed and the accompanying conditions could be reduced, even if it does not cause immediate changes.
The SEC is also considering adjacent product groups, including prediction market ETFs. However, processes like this often take many months before reaching formal rulemaking steps or new guidance.
Legal bottlenecks to watch
The biggest issues revolve around custody, valuation, market surveillance, and disclosure standards. These are the four areas where crypto ETFs and on-chain ETFs typically put the most pressure on the existing regulatory framework.
Custody and asset management
How to hold, protect, and verify digital assets remains a major point of debate. The traditional ETF custody model relies on qualified custodians, while crypto introduces its own risks related to private keys and blockchain infrastructure.
Pricing and valuation
ETFs need a trustworthy pricing mechanism to create and redeem fund shares. The crypto market is fragmented across many exchanges with different liquidity levels, so establishing a consistent NAV becomes harder—especially for products based on prices from DEXs.
Market surveillance and manipulation risk
For a long time, the SEC has viewed manipulation risk as one of the main reasons crypto ETF filings are delayed or rejected. With new ETFs, the regulator may continue to assess monitoring-sharing arrangements and the market integrity standards that would need to be applied.
Disclosure standards
ETFs that interact with smart contracts, on-chain protocols, or decentralized governance mechanisms may need new disclosure templates. Risks of this kind are often not fully reflected in traditional prospectus templates.
What could happen next
The comment period will last within a defined timeframe, after which the SEC team will review the feedback and decide on the next steps. Possibilities include proposing formal rules, updating internal guidance, or organizing additional specialized discussion sessions.
Issuers and investors should monitor the comment submission deadlines, formatting requirements, and signals from the SEC’s crypto team. There is currently no sign that this stage will lead to quick approval for new ETFs.
Summary
The SEC is expanding the scope of review to include crypto and on-chain ETFs, but this is still only the comment stage—it is not yet a licensing decision or an immediate change to regulations.
Source: https://tintucbitcoin.com/sec-lay-y-kien-ve-etf-crypto-moi/
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