The US Securities and Exchange Commission (SEC) has postponed its decision on the Bitwise 10 Crypto Index exchange-traded fund (ETF) to March as the regulator needs more time to conduct a comprehensive review of the proposal.
The SEC has designated a new deadline of March 3, 2025, by which it will either approve, disapprove, or institute further proceedings to consider the proposal.
SEC Extends Review Period for Bitwise 10 Crypto ETF
The extended review period, until March 3, will give the SEC additional time to evaluate the impact of the fund.
The Bitwise 10 Crypto Index Fund is designed to track the performance of the top cryptocurrencies by market capitalization. The fund includes Bitcoin, Ethereum, Solana, XRP, Cardano, Avalanche, Chainlink, Bitcoin Cash, Polkadot, and Uniswap. Bitwise has maintained this initial fund since 2018.
On November 14, 2024, NYSE Arca submitted a proposal to the SEC seeking approval to list and trade shares of the Bitwise 10 Crypto Index Fund. This filing was published for public comment in the Federal Register on December 3, 2024, and no comments have been submitted to date.
The SEC is required to act on such filings within 45 days of their publication. This deadline, initially set for January 17, 2025, has now been extended.
Should the proposal be approved, it would mark a major milestone in the SEC’s handling of cryptocurrency investment vehicles. The Commission’s decision to extend the review period is in line with its cautious approach to cryptocurrency regulation.
However, it appears that the delay was no surprise. Bloomberg ETF Analyst James Seyffart said the same on Twitter.
“As expected the SEC has punted/delayed the decision on BitwiseInvest’s filing to convert the Bitwise 10 Crypto Index Fund (BITW) into an ETF. Final deadline is in late July,” Seyffart said.
He also added that the SEC could delay the approval of Grayscale’s proposal for its GDLC fund. The deadline for this proposal is February 2, and Seyffart said, “Also expecting a delay there.”
At the same time, several others are hoping that the approvals would land quickly after Trump’s inauguration.
“As expected the Gensler SEC delays approval of BitwiseInvest Bitwise 10 crypto index ETF containing BTC, ETH, SOL, XRP, ADA, AVAX, LINK, BCH, DOT, UNI. Expect all these to be approved shortly after Trump inaugeration,” crypto analyst Marty Party said.
Recently, the asset management firm filed a registration with the SEC in December to launch a new ETF named the “Bitcoin Standard Corporations ETF.” This fund will invest in companies that hold substantial amounts of Bitcoin as part of their corporate financial reserves.
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