- Litecoin, Doge, Solana, and XRP ETFs have had their approval decision delayed
- Bloomberg ETF analyst James Seyffart said “this is standard procedure”
- ETF applications are on the rise as investor interest continues
The US Securities and Exchange Commission (SEC) has delayed its decision to approve several crypto exchange-traded funds (ETFs).
The affected ETFs are Litecoin, Doge, Solana, and XRP. In filings published on March 11, the SEC said it had issued a “Notice of Designation of a Longer Period” to determine the outcome of proposed rule changes.
The ETFs are those filed by Nasdaq’s Litecoin and the Chicago Board Options Exchange’s (Cboe) XRP ETFs.
Following the news, Bloomberg’s ETF analyst James Seyffart said on X: “It’s expected as this is standard procedure,” adding that Paul Atkins, the new chair of the SEC, hasn’t even been confirmed yet.
“This doesn’t change our (relatively high) odds of approval. Also note that the final deadlines aren’t until October for these,” he said.
https://twitter.com/JSeyff/status/1899551715197628838
Fellow Bloomberg ETF analyst Eric Balchunas said: “Eth staking and in-kind also delayed. Everything delayed. It’s like the NYC-bound Amtrak on Monday morning: “Mechanical issues in DC.”
The two analysts believe that Litecoin ETF has a 90% chance of approval in 2025.
ETF applications
In recent months, the number of crypto ETF applications has risen as investor interest continues.
Yesterday, investment company VanEck registered for an Avalanche ETF in the US despite declining market prices for the altcoin. In addition to its Litecoin ETF, Nasdaq filed for a Hedera ETF at the end of February. Earlier this month, the NYSE Arca filed a 19b-4 form to list the Bitwise Dogecoin ETF.
The increase in applications comes as US President Donald Trump has taken a pro-crypto stance toward the market since his election last year. Since entering the White House, he’s made several changes within his administration geared toward boosting the crypto industry in the US.
One significant change is the incoming SEC chair. In December, it was reported that Trump had selected Atkins to lead the agency following the departure of Gary Gensler.
Since leaving the SEC, Atkins has been an outspoken supporter of the crypto industry, particularly in his role as co-chair of the Token Alliance at the Digital Chamber of Commerce. In addition, Atkins has advised digital finance companies on regulatory compliance as the founder of Patomak Global Partners, a consultancy he established in 2009.
The addition of Atkins is one of the steps Trump is taking to provide clearer guidelines for crypto.