SEC Delays Decisions on XRP, Solana, Litecoin, and Dogecoin ETFs

The US Securities and Exchange Commission (SEC) has once again delayed its decision on a number of exchange-traded funds (ETFs) associated with popular cryptocurrencies

The US Securities and Exchange Commission (SEC) has once again postponed its verdict on several exchange-traded funds (ETFs) linked to popular cryptocurrencies like XRP, Solana, Litecoin, and Dogecoin.

A series of filings released on March 11 saw the SEC indicating it would take additional time to consider proposed rule changes that would enable these ETFs to launch.

Among the ETFs facing delays are Grayscale’s XRP ETF and the Cboe BZX Exchange’s spot Solana ETF, with the decisions on these proposals now postponed until May. This development continues to highlight the SEC’s cautious approach to the burgeoning market of cryptocurrency ETFs.

"Not overly alarming to see several alt-coin ETF filings 'punted' by the SEC," said James Seyffart, a Bloomberg ETF analyst, mentioned in a post.

He described this as a typical procedural step, especially given that Paul Atkins, the SEC chair appointed by President Donald Trump, is yet to be confirmed.

"Also, a final decision deadline isn't until October, so the odds of these getting approved are still relatively high, I'd say," Seyffart added optimistically.

In a related observation, fellow Bloomberg analyst Eric Balchunas noted that the trend of delays isn’t limited to altcoins; it also includes Ethereum (ETH) staking ETFs and various other ETFs focused on crypto.

"Broader moment of inactivity/pause in Mena (mutual fund) approvals too. Seeming to be a broader regulatory slowdown," Balchunas pointed out.

This isn’t the first time the SEC has pushed back on ETF filings. In late February, it similarly extended its deadline for Cboe Exchange’s request to list options related to Ether ETFs.

This pattern of delays arrives amid a surge in altcoin ETF filings that followed Trump’s election and the resignation of former SEC Chair Gary Gensler, who maintained a notably strict regulatory stance during his tenure.

Following Gensler's departure, several firms previously embroiled in legal quandaries with the SEC have seen their cases dismissed. For instance, crypto exchange Gemini had its investigation concluded without enforcement action, while Cumberland DRW also had legal challenges dismissed in early March. This shift might indicate a softening of the SEC's stance under acting Chairman Mark Uyeda, who has proposed easing certain proposed regulations that would have broadened regulatory oversight of crypto firms.

As these matters unfold, they will undoubtedly influence market dynamics and set precedents for the regulatory framework surrounding cryptocurrencies in the long term.