The US Securities and Exchange Commission (SEC) has announced that it needs more time to decide on several cryptocurrency-related ETF applications. Among those affected are BlackRock’s application for Ethereum staking as well as Franklin Templeton’s spot ETF applications for Solana and XRP.
The SEC has extended the deadlines for decisions on applications from Franklin Templeton and BlackRock. Franklin Templeton’s amendment request for Ethereum staking is now set for a decision by November 13, while the applications for Solana and XRP have been pushed to November 14. BlackRock’s request to include Ethereum staking in its iShares Ethereum ETF has been postponed until October 30, according to the SEC report.
Reasons for the delay
The agency cites the need to further examine complex aspects such as staking mechanisms, investor protection, and the volatility of altcoins as the reason for the delays. In the case of staking applications, the SEC must evaluate to what extent the introduction of staking in an ETF is legally permissible. The applications come from major asset management firms such as Franklin Templeton and BlackRock, with filings submitted through regulated markets like Cboe BZX and Nasdaq.
These delays coincide with the SEC’s efforts to develop a generic framework for the listing of crypto ETFs. Such a framework could establish standardized criteria that altcoin ETFs and staking products must meet in the future. This is intended to make future evaluations more efficient and predictable.
Implications for the market and investors
For investors and issuers, the extended review period brings uncertainty, especially as many are hoping for a swift approval. At the same time, the SEC’s cautious approach highlights how sensitively regulators handle new product types, particularly those involving crypto assets and staking. A final decision is expected once the framework is in place and the agency has sufficient information.
The current delays suggest that the SEC intends to regulate the crypto ETF landscape step by step rather than making hasty decisions. Market observers believe the coming months will be critical: if the SEC gives the green light, altcoin ETFs could become a new standard product alongside Bitcoin and Ethereum - potentially attracting both institutional and retail investors.
