In a significant move for the financial markets, the U.S. Securities and Exchange Commission (SEC) has approved new generic listing standards for commodity-based exchange-traded products (ETPs). The publication provides the following information: this decision is expected to reshape the landscape for ETP issuers and enhance market efficiency.
New Standards for Commodity-Based Trust ETPs
The newly established standards aim to simplify the approval process for commodity-based trust ETPs, eliminating the necessity for extensive custom reviews. This streamlining is anticipated to make the listing process more predictable, thereby fostering innovation within the sector.
Impact on Issuers and Market Access
With these changes, issuers will have the opportunity to expand their market access while simultaneously reducing legal costs associated with product listings. The SEC's decision reflects a commitment to modernizing the regulatory framework and supporting the growth of new financial products in the evolving market.
In a recent development, three major South Korean exchanges have placed the FLOW token on their delisting watchlist, highlighting ongoing regulatory scrutiny in the cryptocurrency market. This contrasts with the SEC's recent approval of new listing standards for ETPs. For more details, see read more.
