In an announcement made on Thursday, the SEC delayed reviewing the next steps for the Bitwise Dogecoin ETF, Grayscale Hedera Trust, and VanEck Avalanche ETF.
“The initiation of the review process does not mean that the Commission has made any conclusions regarding the issues under consideration,” the SEC stated in each filing. “Instead, we encourage stakeholders to provide comments on the proposed regulatory changes to ensure a comprehensive assessment process.”
This move comes just two days after the SEC requested that the issuers of the Solana spot ETF update their S-1 filings—a sign that often indicates that an approval decision may be forthcoming. According to analyst Eric Balchunas from Bloomberg, the approval process for these ETFs could be completed in the next two to four months.
Currently, dozens of spot cryptocurrency ETF filings are awaiting SEC review. Since Paul Atkins took office as SEC Chair on April 22, following Gary Gensler’s departure, he has committed to adopting a “more friendly” approach to digital assets.
A representative from 21Shares stated on Wednesday: “We have received feedback from the SEC and have been asked to revise and resubmit the updated S-1 filing. We expect to complete this as soon as possible.”
However, some companies, including VanEck and 21Shares, have expressed concerns that the SEC seems to no longer adhere to the “first in, first out” principle—reviewing and approving products in the order they were filed.
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In a letter to the SEC this week, the two companies emphasized: “Abandoning this principle undermines the core values of innovation, fairness, and competition in the financial market. We respectfully urge the Commission to restore the filing order approval principle, as has been maintained for so long. When the SEC does not ensure fairness, ETP issuers incur additional costs, and the ETP market becomes less transparent and equitable.”
The ongoing delays and changes in the SEC’s approach are causing the financial and cryptocurrency communities to closely monitor the situation, as the market anticipates new advancements in integrating digital assets into the traditional financial system.
