The U.S. Securities and Exchange Commission (SEC) announced the postponement of decisions on ETF applications from Bitwise and Canary Capital due to a surge in submissions.
Reasons for SEC's Delays
The SEC has delayed decisions on Bitwise's Bitcoin and Ethereum ETFs as well as Canary Capital's Hedera ETF. New deadlines have been set for June 10 and June 11, respectively. The SEC cited the need for additional time to thoroughly review the proposals and consider public comments.
Surge in Interest for Crypto ETFs
These delays are part of a broader trend as the SEC grapples with a growing number of crypto ETF applications. Recent delays also involve Grayscale’s application to convert its Polkadot Trust into an ETF, with a new deadline now set for June 11.
Future of Crypto ETFs and Impact of New Appointments
The delays come amid a leadership shift at the SEC, with crypto-friendly Paul Atkins taking the helm. His appointment could mark a turning point for the SEC’s stance on digital asset investment products. Bloomberg analyst James Seyffart is tracking the growing list of ETF submissions, including those tied to Solana, Ripple, and others. He expressed the belief that despite the wave of altcoin ETF applications, Bitcoin ETFs will continue to dominate the crypto ETF landscape.
The SEC's delays highlight not only the increasing number of ETF applications but also shifts in cryptocurrency regulation. The future of crypto ETFs will depend on further actions taken by the SEC and the approach of its new leadership.
