The SEC’s Crypto ETF Saga: Even They Can’t Make Up Their Minds! 😂

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Key Takeaways 🚨

The SEC’s awkward pause on crypto index ETFs by Bitwise and Grayscale has left us all scratching our heads. Can someone please send a memo to Paul Atkins that we need answers? 🤦‍♀️

The Securities and Exchange Commission (SEC) has swooped in like your well-meaning but ultimately confusing aunt at Thanksgiving, putting a hold on crypto index ETF products by Bitwise and Grayscale despite earlier approvals. Thanks, SEC! 🙄

On July 22nd, the SEC gave a nod to Bitwise’s multi-crypto fund, BITW, for its shiny new ETF status. Sounds great, right? Well, plot twist: just when we thought we could pop the champagne, they hit the brakes faster than I run from an ex at a party. 🙈

This ETF was supposed to be a treasure trove of crypto, serving up Bitcoin [BTC], Ethereum [ETH], Ripple [XRP], and Solana [SOL], like a buffet nobody asked for but here we are. 🍽️

They claimed the approval was on an ‘accelerated basis’—which sounds like something I say when I’m really just running late—but then slapped a stay order on it. Surprise! 😳

Decoding the SEC’s Mixed Signals 🧐

This stay order mirrors one that bumped Grayscale Digital Large Cap Fund off the trading floor, because apparently, the SEC thought it needed a little more drama. 💅

Bloomberg ETF analyst James Seyffart is wondering if the delay is due to one or more commissioners maybe playing a game of crypto chess. He even went as far as saying:

“Bitwise has been stayed by either one or multiple commissioners. Meaning they cannot actually convert it into an ETF … *yet*”

And then comes the second theory: they might just be buying time to figure out what the heck they’re doing with crypto ETF approvals. It’s like getting stuck in a group project where no one knows what their job is. 📚🤔

Scott Johnsson pitched in with his own concerns, pointing out that this whole situation is just odd, especially under a pro-crypto chair like Paul Atkins. And he added:

“I have to wonder what is going on at the SEC…Both explanations are the kind of funny business that shouldn’t really be happening under Atkins.”

Nate Geraci from the ETF Institute suspects that not all the commissioners are on the same page, leading to more confusion than your typical love triangle in a teen drama. 📺💔

Even attorney Adam Gana chimed in, agreeing that SEC’s approval-and-pause antics are confusing and really not doing any favors for our lovely market confidence. Thanks, guys! 😬

Looking on the bright side—or perhaps the not quite as dim side—Geraci thinks we might see an actual framework for crypto ETF approvals by fall. But, with October lurking, let’s see if they can stick to that deadline. ⏳

Meanwhile, 21Shares is looking for a different route to approval for its crypto index ETFs. Who knows what will happen next? Grab some popcorn, folks! 🍿

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2025-07-25 07:39