SEC Postpones Decisions on XRP, Solana, Litecoin, and Dogecoin ETFs Amid Leadership Transition

The SEC has extended its decision deadlines for several cryptocurrency ETF applications, including those for XRP, Solana, Litecoin, and Dogecoin, pushing the timeframe to May. This delay, according to market specialists, is a standard procedure and doesn't necessarily affect the likelihood of approval, with final decisions expected in October.

The SEC's filings from March 11th cited the need for additional time to review proposed rule changes for these ETFs. Affected applications include Grayscale's XRP ETF and Cboe BZX Exchange's spot Solana ETF.

Bloomberg ETF analyst James Seyffart noted that such delays are common and don't preclude eventual approval. Bloomberg analyst Eric Balchunas further reported that the SEC also delayed proposals for Ethereum staking and in-kind redemption-based ETFs.

This postponement coincides with a leadership transition at the SEC. Following Gary Gensler's departure in January, Paul Atkins's confirmation as chair remains pending. This leadership uncertainty may influence the timing of ETF approvals.

Despite this, the SEC continues to receive new ETF applications, including a recent proposal from Franklin Templeton for a crypto index ETF, highlighting ongoing market interest in cryptocurrency investment vehicles. The SEC's thorough review process reflects its commitment to investor protection and market stability.