The U.S. Securities and Exchange Commission (SEC) has announced a delay for the decision on 21Shares' application for a Polkadot ETF until November 2025. This has drawn attention from market participants and analysts.
Market Expectations and Reaction to News
Despite the delay, the price of DOT surged by 8.5% following the announcement, indicating positive market sentiment and strong investor interest.
SEC's Role in Regulating Crypto ETFs
The SEC's delay reflects a cautious approach to regulating cryptocurrency ETFs. Historically, the SEC has demonstrated a tendency for extended review periods for ETF applications, allowing for additional information and feedback to be gathered.
Analyst Predictions and Future Approvals
Analysts remain optimistic, predicting a 90% chance of approval for the 21Shares Polkadot ETF by November 2025. "We see a 90% chance of eventual approval for the 21Shares Polkadot ETF by November 2025, reflecting strong institutional optimism," stated a Bloomberg analyst.
The SEC's delay emphasizes the complexity of crypto asset regulation but also serves as a foundation for further price growth of DOT, considering positive analyst forecasts.
