The U.S. SEC has postponed its decision on the Bitwise Bitcoin and Ethereum ETF physical redemption.

[The US SEC Delays Decision on Bitwise Bitcoin and Ethereum ETF Physical Redemption] According to a document released on Wednesday, the US Securities and Exchange Commission (SEC) has postponed its decision on the Bitwise Bitcoin ETF trust and the Bitwise Ethereum ETF physical redemption mechanism. This is the latest sign of restraint from US regulators amidst an improving political environment for crypto assets. According to the filing, the S.E.C. will issue a ruling by Sept. 8, at which time it may approve or deny the application or choose to consider the matter further. "The Commission believes that it is necessary to designate a longer period of time to act on the proposed rule changes in order to allow sufficient time to consider the proposed changes and the issues raised therein," the document reads. ” The so-called redemption in kind means that investors can directly exchange ETF shares for the underlying tokens held by the fund, so as to avoid certain tax burdens. This mechanism has been a sensitive topic, with regulators expressing concerns about its complexity and security, while ETF issuers are eager to offer the same functionality as traditional non-crypto ETFs.