Game Changer: SEC Simplifies Route for Crypto ETFs

The U.S. SEC intends to revamp applications for spot crypto ETFs. This initiative will enable institutions to gain exposure to some of the top cryptos available, such as Solana and TRUMP.

It took over ten years for the U.S. Securities and Trading protocol Commission (SEC) to greenlight the initial set of spot BTC ETFs.

Following the Winklevoss Twins’ first application in 2013, the SEC denied it due to concerns regarding trading market manipulation, insufficient monitoring mechanisms, and significant crypto price market fluctuation.

By 2023, the pressure intensified, leading Gary Gensler and the SEC to authorize nine spot Bitcoin ETFs in early 2024. A few months later, they also approved spot Ethereum ETFs, lacking a locking tokens option.

As of July 8, 2025, spot Bitcoin and ETH ETF issuers in the U.S. collectively oversaw shares worth more than $147 billion.

Among these, BlackRock stands out as the largest entity, assisting issuers in managing billions in ETH- and BTC-backed shares.

By July 7, institutional investors had acquired over $216 million in Bitcoin-backed spot Bitcoin ETF shares.

(Source)

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SEC Revamping Spot Crypto ETF Applications

Prior to this significant decision in 2024, the SEC generally spent months or years evaluating and approving spot crypto ETF applications. Fortunately, this is set to change, allowing previously limited institutions to access some of the top cryptos available.

Reuters reports that the SEC is formulating a structure to simplify and expedite the approval of spot crypto ETF applications in the U.S.

Sources indicate that upcoming modifications will feature a more straightforward single-step registration procedure. Furthermore, fresh guidelines for crypto ETFs will be introduced. If enacted, these changes will greatly benefit applicants.

At present, applicants must endure a complex two-step process. Initially, they file the 19b-4 submission, which encompasses changes to exchange regulations. This is followed by the S-1 registration for the fund. This dual approach has frequently resulted in delays, leaving issuers in prolonged uncertainty and intricate discussions with regulators.

With the new system, crypto ETF applicants will simply need to submit one S-1 filing, enabling the fund to be approved for listing if the SEC raises no objections within 75 days.

To enhance the clarity and ease of the procedure, the regulator is establishing a unified listing standard for crypto ETFs. Most critically, they will create guidelines to tackle unique crypto-related challenges, such as staking functions and redemption procedures.

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Spot Crypto ETF Applications, 99% Likelihood of SEC Approving Spot Solana ETF in 2025

As of July 8, 2025, there were 72 crypto ETF applications, with applicants aiming for SEC approval for spot ETFs for SOL ▼-1.25%, XRP ▲0.36%, and even some notable Solana meme coins like TRUMP.

Among the applicants for the spot Solana ETF are Grayscale, VanEck, and Fidelity. Crypto market speculators on Polymarket have assigned a 99% probability of a spot Solana ETF receiving approval by the conclusion of 2025.

(Source)

 

On July 1, 2025, the REX-Osprey Solana ETF, which allows locking tokens, was launched in the U.S. Unlike spot Ethereum ETFs, participants in this spot Solana ETF receive exposure to SOL along with locking tokens rewards.

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