The U.S. Securities and Exchange Commission (SEC) has once again postponed decisions on key cryptocurrency exchange-traded funds (ETFs), including Bitwise’s proposal to incorporate staking into its Ether ETF and Grayscale’s application for an XRP ETF. Announced on May 20, these delays were anticipated by industry analysts, who note that the SEC often utilizes the full duration allowed under the 19b-4 filing process to thoroughly evaluate such proposals.
Bloomberg ETF analyst James Seyffart commented that these postponements are standard procedure, especially given that most final deadlines for these filings extend into October. He emphasized that early decisions would be atypical, regardless of the SEC’s current stance on cryptocurrencies.
Lotta questions. Replying here:
The SEC *typically* takes the full time to respond to a 19b-4 filing. Almost all of these filings have final due dates in October. Early decisions would the action that's out of the norm. No matter how "Crypto-friendly" this SEC is
There's no…
— James Seyffart (@JSeyff) May 20, 2025
The SEC’s cautious approach is further influenced by the pending confirmation of Paul Atkins, nominated by President Trump to succeed Gary Gensler as SEC Chair. Atkins, known for his pro-crypto views, has yet to undergo confirmation hearings, leaving the agency in a transitional phase that contributes to the regulatory inertia.
Despite these delays, the SEC has made progress in other areas, such as approving options trading for multiple spot Ether ETFs, including those from BlackRock, Bitwise, and Grayscale. However, the incorporation of staking features is still being scrutinized by the SEC, which is assessing the implications for investor protection and market integrity.
As the SEC navigates this complex regulatory landscape, the crypto industry watches closely, understanding that while delays are frustrating, they are part of the meticulous process of integrating digital assets into the traditional financial system.
