XRP News Today: SEC Delays Trump-Linked Bitcoin Ethereum ETF and Multiple XRP Dogecoin Proposals

The U.S. Securities and Exchange Commission has postponed decisions on a range of cryptocurrency exchange-traded fund proposals, including one backed by Truth Social, a media company linked to Donald Trump, which seeks to track Bitcoin and Ethereum [1]. The SEC pushed back its decision on the Truth Social ETF to October 8, a delay likely linked to the regulator’s review of a proposal from two major exchanges, Cboe BZX and NYSE Arca, which aims to streamline the approval process for future crypto ETFs [1].

Alongside the Bitcoin and Ethereum ETF, the SEC also delayed decisions on multiple XRP-based ETF applications from Grayscale, Bitwise, CoinShares, Canary Capital, and 21Shares [1]. It similarly postponed a decision on Grayscale’s Dogecoin ETF and a Litecoin product from CoinShares. Additionally, the agency did not resolve a request to allow staking in the 21Shares Core Ethereum ETF [1]. These delays follow similar moves in early September involving Solana and Dogecoin ETFs [1].

The SEC’s decision to delay has sparked speculation about the timing and potential reform of listing standards for crypto ETFs. In recent filings, Cboe BZX and NYSE Arca requested changes to Rule 19b-4, which would allow certain crypto ETFs to be automatically listed without undergoing the lengthy, case-by-case review process [1]. Bloomberg Senior ETF Analyst Eric Balchunas noted that the SEC’s recent filings were “nothing significant” and were likely timed to coincide with the expected approval of the exchanges’ proposed rule changes [1]. He suggested that, following these reforms, a wave of crypto ETF approvals could begin as early as October [1].

The delays have added to the uncertainty in the crypto market, where Bitcoin, Ethereum, and altcoins like XRP and Dogecoin have seen recent price declines amid regulatory ambiguity [4]. Ripple, the company behind XRP, has been engaged in legal battles with the SEC over the classification of its token, and recent court developments suggest the company is preparing for a potential regulatory breakthrough [5]. The continued deferrals on XRP ETFs may reflect internal deliberations at the SEC or external factors such as ongoing litigation [3].

The broader implications of the SEC’s actions extend beyond individual ETF applications. They highlight the agency’s critical role in shaping the regulatory environment for crypto assets and the financial products that seek to track them. As the agency continues its deliberations, the market remains in a state of anticipation, with investors and industry participants closely watching for signs of regulatory clarity [2]. The outcome of these decisions could influence the next phase of institutional interest and retail adoption of cryptocurrencies in the U.S. market.

Source:

[1] Decrypt (https://decrypt.co/335695/sec-punts-trump-media-bitcoin-ethereum-etf-decision-xrp-dogecoin)

[2] Forbes (https://forbes.com)

[3] The Block (https://theblock.com)

[4] Benzinga (https://benzinga.com)

[5] Coindesk (https://coindesk.com)