SEC’s Secret Recipe for Faster Crypto ETFs (And a Side of Chaos) 🤑🚀

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Key Highlights

  • The SEC, in a surprising act of kindness, has given ETFs a magical pass to automatically become effective under Section 8(a)-as long as they ditch their silly little delaying amendments.
  • Analysts are now scrambling, predicting a stampede of crypto ETFs, including Bitwise’s XRP, which will probably try to sneak through the gates like a greased pig at a county fair.
  • This move is part of the SEC’s “Project Crypto,” a fancy name for a bureaucratic game of Clue™ where they’re trying to figure out what’s a security and what’s just a shiny rock.

The U.S. Securities and Exchange Commission, after years of playing hide-and-seek with crypto, has finally flipped the switch on a “fast-lane” for ETFs. Who knew regulators could be so… prompt? Now, investors can look forward to a parade of digital-asset products, because nothing says “trust us” like a pile of paperwork and a wink.

The new guidance, released just in time for the holidays, lets issuers wave a magic wand (Section 8(a)) and vanish their delays. During the government shutdown, crypto ETFs apparently took a holiday too, but now they’re back, grumpy and ready to cause chaos.

Bloomberg’s Eric Balchunas, who sounds like a man who’s seen it all, said this could be a turbo boost for ETFs stuck in regulatory limbo. “Some of those crypto ETFs that didn’t do the 8-A thing will try and push out as soon as they can,” he said, while sipping a latte and eyeing Bitwise’s XRP like a kid in a candy store.

SEC put out some guidance where it looks like issuers can sort of speed up the effectiveness of filings in an effort to clear out some backlog. My guess is some of those crypto etfs that didn’t do the 8a thing will try and push out as soon as they can. Bitwise XRP is due next up…

– Eric Balchunas (@EricBalchunas) November 14, 2025

A Backlog Meets a Booming Market

During the shutdown, issuers filed 900+ registration statements-enough to make the SEC staff climb the walls. Now, the SEC says, “Fine, we’ll process them in the order they came in,” which is either a masterstroke or a recipe for disaster. Here’s the tea:

  • Statements without silly amendments? Automatically effective after 20 days. Easy peasy.
  • Issuers can ask for acceleration once the SEC staff finishes their morning coffee.
  • Post-effective amendments from the shutdown? Effective unless you say “no thanks.”

This comes as crypto ETFs are throwing a party in the market, with XRP, Solana, and others waiting in line like kids at a candy shop. The SEC’s new rules? Just the ticket to keep the confetti flying.

Canary’s XRP ETF Debut Adds Pressure

Just 24 hours before the SEC dropped its guidance, Canary Capital’s XRPC ETF launched like a rocket, raking in $46 million before the closing bell. Analysts are now saying, “Well, if Canary can do it, why can’t everyone else?”

Now, Bitwise, 21Shares, and CoinShares are probably sweating bullets, trying to fast-track their XRP and SOL ETFs before the SEC changes its mind-or gets distracted by something shiny.

Project Crypto Sets the Backdrop

The SEC’s big “Project Crypto” update, which arrived like a superhero in a bureaucratic cape, has finally given us the first proper token taxonomy. It’s like giving a toddler a dictionary but with more jargon and less fun.

This initiative is all about figuring out what’s a security and what’s just a digital sticker. For ETF issuers, this means fewer red tape hurdles and more “hurrah!” moments. Or at least fewer “what the heck is this?” moments.

What Happens Next

Issuers now face a simple choice: remove their silly amendments and let the 20-day clock tick, or beg the SEC for a favor. Analysts predict a flurry of “effective notices” by late November-because nothing says “trust” like a filing deadline.

With XRP ETFs already trading and others in the queue, this could be the fastest ETF rollout since the invention of the wheel. Investors aren’t wondering if more ETFs are coming-they’re just counting how many times they’ll trip over them.

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2025-11-14 20:06