SEC Speeds Up Bitwise's Bitcoin & Ethereum ETF Approval

The U.S. Securities and Exchange Commission (SEC) has taken a significant step towards the approval of Bitwise's combined Bitcoin and Ethereum Exchange-Traded Fund (ETF), with the regulator granting accelerated approval for the issuer's 19b-4 filing via the New York Stock Exchange (NYSE). The approval, which came on January 30, allows the ETF to be listed and traded, with initial daily share creation and redemption limited to 10,000 shares.

The SEC's decision to fast-track the approval process for Bitwise's ETF is a notable development in the cryptocurrency market. The regulator approved the filing in just 45 days, significantly shorter than the standard 240-day review period. This expedited approval follows the SEC's recent approval of similar combined Bitcoin and Ethereum ETFs from Hashdex and Franklin Templeton in December 2024.

Analysts have noted the rapid approval process for Bitwise's ETF. James Seyffart, an ETF analyst at Bloomberg, stated that the approval was expected given the similarity to previously approved filings. Eric Balchunas, another Bloomberg ETF analyst, agreed that the outcome was predictable, even under the current SEC chair, Gary Gensler. Balchunas also highlighted the unusually fast approval time, suggesting that it could indicate a faster review process for future crypto ETF filings.

The approval of Bitwise's ETF is a significant milestone in the company's expansion into the crypto ETF sector. Bitwise has also applied for ETFs tracking Solana (SOL), XRP (XRP), and Dogecoin (DOGE), although the approval of meme coin-based ETFs remains uncertain. Additionally, the Bitwise 10 Crypto Index Fund is still under review, which could further expand Bitwise's influence in the digital asset market.

The SEC's willingness to approve crypto-related ETFs at a faster pace has drawn the attention of the industry. As the regulator continues to evaluate future filings, including those for Litecoin, market participants will be closely watching the SEC's approach to cryptocurrency investment products.