TL;DR
- The SEC released a preliminary guidance for crypto ETFs, marking the first formal step toward a regulatory framework for digital asset-based products.
- The new plan aims to cut approval times from 240 to 75 days, eliminating individual filings and speeding up the arrival of new funds.
- REX Financial and Osprey Funds launched an ETF with indirect exposure to Solana, raising $12 million on its debut.
The U.S. Securities and Exchange Commission (SEC) is moving forward with the creation of a regulatory framework for cryptocurrency exchange-traded funds (ETFs).
The agency published a disclosure guidance that issuers of digital asset-linked products must comply with. This document seeks to organize a market currently piled up with dozens of pending applications, including proposals for Solana, XRP, and even memecoin products.
The 12-page document requires asset managers to clearly explain, in plain language, specific factors related to crypto ETFs, such as asset custody and the risks of operating in a highly competitive market. This measure reflects a shift in the SEC’s stance under Republican leadership, which in recent months paused long-standing lawsuits and reorganized its crypto oversight team.
ETF Approval Time Could Drop to 75 Days
The real operational shift will come with the next document, which would eliminate the need for exchanges to file individual requests each time they want to list a new ETF. Currently, that process — known as a 19(b)4 form — can take up to 240 days. The proposed general rule would cut that period to just 75 days, easing the entry of new products into the market. According to sources close to the talks, negotiations with exchanges like Nasdaq and Cboe are already underway, though no official announcements have been made.
While the SEC finalizes this framework, some firms have found workarounds to get ahead. REX Financial and Osprey Funds launched the first U.S. ETF with exposure to Solana, though through an indirect structure. This vehicle invests in an entity that, in turn, holds both Solana and an offshore Solana fund, allowing it to temporarily bypass current U.S. rules while offering investors access to staking-generated yields.
The ETF debuted on July 1 and raised $12 million on its first day. According to REX Financial CEO Greg King, the company plans to launch a spot Solana ETF as soon as the new rules are in place. The market anticipates fierce competition in that segment over the coming months.
