Update on SEC’s Decision on Bitcoin and Solana ETFs
In Brief
- The SEC has postponed decisions on the Truth Social Bitcoin ETF and the Grayscale Solana ETF.
- New decision deadlines are set for September 18 and October 10, respectively.
- The SEC has been delaying multiple crypto-related ETF applications, even amid a more favorable stance towards crypto.
The U.S. Securities and Exchange Commission (SEC) recently announced a decision to delay its ruling on two significant exchange-traded funds (ETFs): the Bitcoin ETF linked to Truth Social and the Grayscale Solana ETF. This move continues the trend of regulatory caution surrounding crypto-related investment products, which has been a dominant theme within the SEC’s recent decision-making process.
New Deadlines Set by the SEC
According to the SEC’s filings, the regulatory body has extended its timeline by an additional eight weeks to thoroughly evaluate these proposals. Specifically, the Truth Social Bitcoin ETF will see a decision deadline of September 18, while the Grayscale Solana ETF’s conversion application now has a deadline of October 10.
The SEC stated, “The Commission finds it appropriate to designate a longer period within which to take action on the proposed rule change so that it has sufficient time to consider the proposed rule change and the issues raised therein,” as outlined in its official filings.
Understanding the SEC’s Review Process
Under the Securities Exchange Act of 1934, the SEC is allotted up to 180 days from the publication date of a proposed rule change to issue a decision. However, this timeline can be extended, as is the case with the recent delays in decision-making surrounding crypto ETFs.
The Truth Social Bitcoin ETF was published for comment in the Federal Register on June 20, 2025, while the Grayscale Solana Trust conversion was published for comments on February 12, 2025. These applications are part of a broader review process for cryptocurrency-based ETFs that have gained attention among investors and regulators alike.
The SEC’s Changing Stance on Cryptocurrencies
Despite the recent delays, the SEC has reportedly taken steps to adopt a more crypto-friendly posture. Under the administration of former President Donald Trump, the commission saw the appointment of crypto advocate Paul Atkins as SEC chairman. This came as several skeptics regarding digital assets left the agency earlier this year.
What Applications Are Currently Pending?
Several ETF applications remain under SEC review, including those connected to popular cryptocurrencies such as Solana and XRP, along with themed tokens like Trump and Dogecoin. As the SEC navigates through these evaluations, the future of these proposals hangs in the balance, awaiting regulatory approval or denial.
The SEC often extends deadlines for ETF decisions and modifications, reflecting their commitment to a thorough review process. For instance, on July 16, the agency delayed its decision regarding the inclusion of in-kind redemptions for the Bitwise Bitcoin and Ethereum ETFs. Furthermore, earlier this summer, they temporarily stopped the rollout of a Grayscale fund that aims to track the prices of Bitcoin, Ethereum, Solana, XRP, and Cardano.
Conclusion
As developments continue to unfold under the SEC’s scrutiny, investors and crypto enthusiasts alike will be watching closely to see how the agency will ultimately respond to the growing demand for cryptocurrency-based ETFs. With the new deadlines approaching, the outcome of these decisions will likely have significant implications not just for the future of these specific funds, but also for the broader cryptocurrency market and regulatory environment.
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