Accelerated Approval from the SEC
The U.S. Securities and Exchange Commission (SEC) has approved new listing standards for crypto exchange-traded funds (ETFs) on an accelerated basis, dramatically shortening the timeline for bringing these products to market.
In its Wednesday filing, the SEC said it found “good cause” to approve the changes ahead of schedule, noting that the amendments “clarify the definitions and requirements of the proposed generic listing standards.”
Nasdaq, NYSE, and Cboe Get the Green Light
Exchanges including Nasdaq, NYSE Arca, and Cboe BZX had requested a rule change to allow the generic listing and trading of Commodity-Based Trust Shares that meet the requirements of Rule 14.11(e)(4). This rule governs how commodity-based trust shares are listed and traded.
“This approval helps maximize investor choice and foster innovation by streamlining the listing process and reducing barriers to digital asset products within America’s trusted capital markets,” said SEC Chairman Paul Atkins in a statement.
What This Means for Crypto ETFs
The approval is a major milestone for dozens of crypto ETFs awaiting regulatory clearance. Previously, exchanges were required to file a 19b-4 form for each crypto ETF, triggering a lengthy review period of up to 240 days.
Under the new standards, qualifying crypto ETFs can be listed and begin trading in as little as 75 days — without the need for the 19b-4 form. This change is expected to accelerate listings for funds tracking major cryptocurrencies like Bitcoin (BTC), Ethereum (ETH), Solana (SOL), XRP, and Dogecoin (DOGE).
Matt Hougan, Chief Investment Officer at Bitwise, said in a note that the rule change could “blow the market wide open.”
Grayscale Fund Approval Adds Momentum
Alongside the rule change, the SEC also approved the listing and trading of the Grayscale Digital Large Cap Fund. Previously available only over-the-counter for accredited investors, the fund holds nearly 80% Bitcoin, 11% Ethereum, and smaller allocations to Solana, Cardano, and XRP.
This move signals a more open stance toward crypto investment products and paves the way for broader retail access to diversified crypto exposure through regulated ETFs.
