SEC Postpones ETF Decisions: Will November Bring Approval?
On Wednesday, the US Securities and Exchange Commission delayed making judgments on several requests for cryptocurrency exchange-traded funds. Funds from large companies, such as Franklin Templeton and BlackRock, are impacted by the delay. SEC filings indicate that the agency has rescheduled Franklin’s Ethereum staking amendment for November 13 and its Solana and XRP ETFs for November 14. On October 30, a proposal to allow staking in BlackRock’s iShares Ethereum Trust is presently scheduled.
Uncertainty Grows as SEC Extends Deadlines for ETF Petitions
The SEC’s reliance on the petitions is not made clear in the papers. Just that it will take longer to assess them. Before making a final decision, the commission is utilizing the longest extension possible. The Securities Exchange Act’s Section 19(b) requires the SEC to make a decision on the proposed rule change within 45 days after its publication. This time frame could be extended to 90 or 180 days, or even for an extra 60 days in certain situations.
SEC Pushes Reform Yet Delays ETF Decisions
Since US President Donald Trump took office in January, the SEC’s position on digital assets has undergone significant change. SEC Chair Paul Atkins unveiled the commission-wide endeavor known as “Project Crypto” on July 31. Modernizing securities laws and establishing a single framework for lending, staking, and trading digital assets are the goals of the project. Atkins brought attention to the change in strategy during the OECD Roundtable on Global Financial Markets in Paris on Wednesday. Even with its pro-crypto attitude, the SEC continues to delay making decisions regarding applications for ETFs. Proposals for altcoins and staking products keep coming in.
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