SEC Reduced Crypto ETF Approval Time from 270 Days to 75

SEC reduced crypto ETF approval time for new commodity-based ETFs, including those linked to cryptocurrencies. What once could take up to 270 days of rigorous individual reviews now drops to just 75 days or less under new generic listing standards.

This move is sparking predictions of a massive influx of crypto ETFs hitting the market soon. But how did we get here, and what could this mean for everyday investors curious about diving into digital assets?

SEC reduced crypto ETF approval time – Breaking Down

The SEC‘s approval targets major exchanges like the NYSE, Nasdaq, and Cboe Global Markets, allowing them to list commodity-based trust shares without case-by-case scrutiny under Section 19(b) of the Securities Exchange Act.

This includes spot crypto ETFs, funds that directly hold actual digital assets, not just futures. By reducing the approval time from 270 days to 75, the SEC is removing bureaucratic bottlenecks that have long stifled innovation in the space.

Alongside this, the agency greenlit the Grayscale Digital Large Cap Fund (GDLC), which tracks a diversified index of top cryptos such as Bitcoin (BTC), Ethereum (ETH), XRP, Solana (SOL), and Cardano (ADA).

Options on the Cboe Bitcoin U.S. ETF Index were also approved, offering investors more ways to hedge or speculate with varying expiration dates. Not every token qualifies, though; candidates need high liquidity, at least six months of futures trading history under CFTC oversight, and robust infrastructure.

This shift builds on prior milestones, like the 2024 Bitcoin ETF launches after legal battles, but contrasts sharply with delays under previous administrations. Under Chair Paul S. Atkins, the focus is on fostering U.S. capital market competitiveness while upholding investor protections.

SEC reduced crypto ETF approval time – Key Impacts

Here’s how slashing the approval time from 270 days to 75 could reshape the crypto landscape:

• Accelerated Launches: New ETFs might debut as early as October 2025, with firms like Bitwise and Canary Capital gearing up for rapid rollouts.

• Expanded Investor Access: Easier entry for altcoins like Solana, XRP, and Dogecoin could attract billions in new capital, making crypto more mainstream for both retail and institutional players.

• Industry Boost: Experts hail it as a “watershed moment,” predicting dozens of products that enhance choices and innovation without compromising safeguards.

• Potential Risks: Although exciting, concerns persist about market volatility and manipulation, despite the SEC’s emphasis on built-in protections.

Reactions are buzzing across platforms, with analysts like Bloomberg’s James Seyffart forecasting a surge in spot crypto ETPs. This isn’t just about speed; it’s about democratizing access to digital finance in a regulated environment.

As the dust settles, keep an eye on how this unfolds. Follow our MevX blog for real-time updates on SEC decisions, crypto ETFs, and investment tips. What’s your prediction for the next big ETF?