SEC delays next steps for Dogecoin, Hedera and Avalanche ETF filings

The U.S. Securities and Exchange Commission delayed making a decision on a slew of spot altcoin exchange-traded funds, something that's become a bit of a common occurrence in recent months as the agency settles in under new leadership.

On Thursday, the SEC punted next steps on the Bitwise Dogecoin ETF, Grayscale Hedera Trust, and the VanEck Avalanche ETF.

"Institution of proceedings does not indicate that the Commission has reached any conclusions with respect to any of the issues involved," the agency wrote in each of the filings . "Rather, the Commission seeks and encourages interested persons to provide comments on the proposed rule change."

The delays come two days after the SEC reportedly requested spot Solana ETF issuers to update their S-1 filings, which typically means approval is closer to reality. Bloomberg's Eric Balchunas estimated that approval could come within the next two to four months, The Block's MK Manoylov reported.

There are dozens of spot crypto ETF filings currently awaiting approval from the SEC. Paul Atkins was sworn in as the agency's new chairman on April 22, three months after Gary Gensler left the post. Since taking over, Atkins has promised a friendlier approach  to digital assets.

"We have received comments from the SEC and have been asked to address and file an amended S-1, which we plan to do so shortly," a 21Shares representative told The Block on Wednesday with regards to the firm's SOL ETF submission.

Of note, VanEck and 21Shares are concerned about the SEC’s apparent failure to practice a "first-to-file approach," wherein the agency greenlights product proposals on a first-come, first-served basis.

"The failure to follow this practice has frustrated the regulatory principles of innovation, fairness and competition in the financial markets," the firms wrote in a letter this week. "To that end, we respectfully request your prompt reinstatement of the Commission's longstanding first-to-file approval principle for registration statements. Simply put, when the Commission plays favorites, it costs ETP sponsors money and makes the ETP marketplace less fair."