SEC Takes First Major Step Toward Crypto ETFs Approval
The U.S. Securities and Exchange Commission (SEC) has issued new guidance that could finally unlock the full potential of crypto ETFs.
This marks a pivotal policy shift, potentially opening the door for dozens of cryptocurrency-linked funds.
The 12-page document, released last Tuesday, lays out the SEC’s updated disclosure requirements.
It focuses on exchange-traded products tied to assets like Solana, XRP, and even the Trump meme coin.
This is the clearest sign yet that crypto ETFs are moving toward mainstream approval in U.S. markets.
A New Era for Crypto Regulation
Under Republican leadership, the SEC is showing a more open stance on crypto.
It has launched a task force to reshape regulations and paused several enforcement cases.
The agency is also restructuring its internal teams focused on crypto.
Together, these moves show an intent to create a consistent, streamlined framework for approving crypto ETFs.
For issuers, this means fewer delays and clearer rules to follow.
Streamlined Applications Could Accelerate ETF Launches
Currently, all new crypto ETFs must go through a cumbersome 19(b)4 filing process.
This special exemption request can delay approvals by up to 240 days.
According to sources close to the SEC, that could soon change.
The agency is developing a general listing template to replace the current system.
If implemented, it would shorten the approval timeline to just 75 days.
That could significantly speed up the release of new crypto ETFs tied to spot assets.
Asset Managers Ready to Capitalize on the Opportunity
Asset managers like Bitwise, REX Financial, and Osprey Funds are preparing for rapid expansion.
Bitwise has over six crypto ETFs awaiting approval, signaling growing demand in the sector.
Matt Hougan, CIO of Bitwise, noted that the biggest milestone isn’t technical—it’s that the guidance now exists.
This, he says, shows the SEC is acknowledging crypto ETFs as part of the financial mainstream.
More asset managers are expected to follow suit and submit filings within weeks.
Solana Leads the Next Wave of Crypto ETF Products
Solana is emerging as the next major asset in the crypto ETFs race.
Several spot Solana ETF applications are pending, but approvals may not come until fall.
In the meantime, REX Financial and Osprey Funds have taken a creative path.
They launched the REX-Osprey Sol + Staking ETF using an indirect structure that sidesteps SEC restrictions.
The fund allows exposure to Solana and staking rewards without holding the cryptocurrency directly.
It raised $12 million on its first day of trading, showing investor enthusiasm for crypto ETFs remains strong.
SEC Sets New Expectations for Transparency
The SEC’s document requires clear, plain-English disclosures from ETF issuers.
Topics include custody solutions, blockchain risks, and the competitive crypto landscape.
This emphasis on transparency aims to protect retail investors and speed up SEC reviews.
By standardizing disclosure, the agency hopes to reduce friction in launching crypto ETFs.
A second round of guidance is expected to be even more transformative.
Crypto ETFs Are Poised to Reshape the Investment Landscape
The shift in the SEC’s stance could usher in a new wave of crypto ETFs.
With trillions of dollars already in U.S. ETFs, crypto’s inclusion could redefine portfolio construction.
Retail and institutional investors alike will benefit from broader access to digital assets.
If Solana, XRP, and other coins are included in regulated ETFs, adoption may accelerate globally.
The bottom line? Crypto ETFs are finally moving from fringe to front and center.