The U.S. Securities and Exchange Commission (SEC) has once again postponed decisions on multiple crypto exchange-traded fund (ETF) applications, affecting products from BlackRock and Franklin Templeton.
Reasons for ETF Delays
The SEC has up to 45 days to act on proposed rule changes, with extensions possible up to 180 days or more. This allows regulators flexibility to defer decisions, and crypto ETFs have repeatedly faced hold-ups under this process. The SEC is currently reviewing at least 92 crypto-linked ETFs.
Current ETF Pipeline Status
Despite delays, crypto ETFs remain a priority for asset managers eager to offer exposure beyond Bitcoin. Analysts suggest that ETFs could soon exist for the top 30-40 cryptocurrencies. Matt Hougan pointed out that there is strong demand for Solana products once approvals are finalized.
Future Prospects for ETF Applicants
The SEC’s next deadlines fall in October and November, leaving issuers waiting for clarity until late 2025. While delays are procedural, analysts believe eventual approvals for mainstream assets like Ether and XRP are likely, though staking presents ongoing challenges.
The delays in ETF applications highlight the need for patience among investors. The likelihood of approvals is becoming clearer, but the SEC's cautious approach suggests that the process may take time.
