SEC's Never-Ending Game: Will They or Won't They Approve Those ETFs? 🤔

In the grand theater of finance, the US Securities and Exchange Commission has once again decided to play the waiting game, delaying its verdict on the fate of several exchange-traded funds—XRP, Solana, Litecoin, and Dogecoin—like a cat toying with a mouse. 🐱

On the fateful day of March 11, amidst a flurry of paperwork, the agency proclaimed it has “designated a longer period” to ponder the proposed rule changes that would allow these ETFs to waltz into existence. Ah, the suspense! 🎭

Among the unfortunate ETFs caught in this bureaucratic limbo are Grayscale’s XRP (XRP) and the Cboe BZX Exchange’s spot Solana (SOL) ETF filings, with their fates now postponed until the merry month of May. 🌸

Bloomberg ETF analyst James Seyffart, in a moment of clarity on March 11, remarked that while the SEC just “punted on a bunch of altcoin ETF filings,” he didn’t see it as a cause for alarm. “It’s expected, as this is standard procedure,” he quipped, as if reading from a script. 📜

He further noted that US President Donald Trump’s chosen one to chair the SEC, Paul Atkins, “hasn’t even been confirmed yet.” Because why rush into things, right? ⏳

“This doesn’t change our (relatively high) odds of approval. Also note that the final deadlines aren’t until October,” Seyffart added, as if trying to soothe the anxious masses. 🕊️

Fellow Bloomberg ETF analyst Eric Balchunas joined the chorus, stating that “everything [is] delayed,” including ETFs featuring Ether (ETH) staking and in-kind redemptions. Because who doesn’t love a good delay? 🙄

In early December, Trump appointed pro-crypto businessman and former SEC Commissioner Atkins to be the agency’s next chair. However, congressional confirmation hearings are still playing hard to get. 🎭

This isn’t the SEC’s first rodeo with extended ETF decision deadlines. On Feb. 28, it pushed back the deadline for Cboe Exchange’s request to list options tied to Ether (ETH) ETFs. Because, you know, why not? 🤷‍♂️

This delay followed a deluge of altcoin ETF filings in the wake of Trump’s election and the resignation of former SEC Chair Gary Gensler, who left behind a legacy of regulatory fervor with 100 crypto-related actions during his tenure from 2021 until his dramatic exit on Jan. 20. 🎭

Since Gensler’s departure, a growing number of firms facing legal action from the regulator have had their cases dismissed, including crypto exchange Gemini on Feb. 26 and crypto trading firm Cumberland DRW on March 4. It seems the winds of change are blowing! 🍃

Meanwhile, acting SEC Chairman Mark Uyeda has proposed abandoning part of a rule change that would have expanded regulation of alternative trading systems to include crypto firms. Because who needs more rules, right? 😅

2025-03-12 08:10

SEC’s Never-Ending Game: Will They or Won’t They Approve Those ETFs? 🤔

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