Written by: Dong Jing, Wallstreetcn
The U.S. digital asset regulatory landscape has reached another important milestone, as the SEC has significantly simplified the approval process for digital currency ETFs, paving the way for spot crypto ETFs such as Solana and XRP.
On September 17 local time, the SEC voted to approve rule change proposals from three major national securities exchanges, clearing the way for a full opening of the digital asset ETF market. This decision marks a major shift in U.S. digital asset regulatory policy and will pave the way for spot ETFs of various cryptocurrencies, from Solana to Dogecoin.
The new rules establish universal listing standards, greatly simplifying the approval process for digital currency ETFs. Asset management companies and exchanges can now apply for new spot crypto ETFs based on unified standards, without the need for lengthy customized regulatory reviews. The approval time has been shortened from the previous 240 days or more to a maximum of 75 days.
The market expects that the first products to benefit will be ETFs tracking Solana and XRP. Asset management companies began submitting applications for these products to the SEC more than a year ago, but so far, the regulator has only approved spot ETFs for Bitcoin and Ethereum.
This is the latest move by the Trump administration to promote the mainstream adoption of digital assets, in stark contrast to the cautious approach of the previous Biden administration. Industry insiders say that although the regulatory gates have been opened, the final listing of products still requires the completion of marketing plans, legal documents, and work with service providers, among other follow-up tasks.
Universal Listing Standards Officially Take Effect
The rule changes approved by the SEC this time involve the New York Stock Exchange (NYSE), Nasdaq, and Cboe Global Markets.
The new rules establish universal listing standards for digital assets and other spot commodity ETFs. Asset management companies and exchanges must meet these standards to obtain approval for new spot crypto ETFs.
The SEC's order issued in July this year detailed the specific content of these listing standards. Previously, the SEC reviewed each spot crypto ETF application on a case-by-case basis, requiring exchanges and asset management companies to submit two separate applications to different departments.
Teddy Fusaro, President of Bitwise Asset Management, stated:
“This is a watershed moment for the U.S. approach to digital asset regulation, overturning more than a decade of precedent since the first Bitcoin ETF application in 2013.”
Significant Improvement in Approval Efficiency
The new process will significantly speed up the listing of digital currency ETFs. According to reports, the maximum time from application to listing will be reduced from 240 days or even longer to 75 days, providing greater certainty for asset management companies eager to enter the digital asset market.
SEC Chairman Paul Atkins described the approval by committee members in a press release as a move to promote innovation and reduce barriers for digital asset products. This statement reflects the Trump administration's more crypto-friendly regulatory stance.
Steve Feinour, a partner at the law firm Stradley Ronon, expects that most applicants will choose a provision that allows for expedited approval of crypto ETFs for which there have been futures contracts regulated by the Commodity Futures Trading Commission (CFTC) for at least six months.
He expects the first products could be listed as early as October.
The First Batch of Products Is Imminent
The market generally expects that ETFs tracking Solana and XRP will be the first products approved under the new rules. Asset management companies began submitting these applications to the SEC more than a year ago, but so far, the regulator has only approved spot ETFs for Bitcoin and Ethereum.
Even for Bitcoin ETFs, their debut in January 2024 only came after years of struggle and legal disputes. In contrast, the SEC under the Biden administration was slow to act on spot crypto ETFs, while the Trump administration has made it clear it is aligned with the crypto community and has pledged to take a more favorable stance toward digital assets.
Steve McClurg, CEO of Canary Capital, which has multiple pending products, said: “The door is open, but there is still a lot of work to be done.”
He stated before the SEC ruling that even after the committee vote, “marketing plans, legal filings, and cooperation with service providers must all be addressed according to the new roadmap.”
Feinour pointed out: “Not every token currently qualifies, but the SEC’s approval will open the floodgates.” This indicates that while the regulatory threshold has been lowered, digital assets still need to meet specific standards to obtain ETF product approval.
