SEC Issues New Filing Guidelines for Spot and Derivative Crypto ETFs Amid Growing Backlog

SEC may allow crypto ETF issuers to skip 19b-4 filings and list after 75 days with no objection.

New SEC guidance outlines disclosure rules for crypto ETFs including custody and asset valuation.

Grayscale spot ETF approval shows growing acceptance of multi-token crypto funds in US markets.

The U.S. Securities and Exchange Commission is working on a simplified listing process for crypto exchange-traded funds (ETFs). This new proposal could help issuers skip the traditional 19b-4 filing. Instead, they would file only Form S-1 and wait 75 days. If the SEC raises no objections, the ETF could then list on U.S. exchanges.

This change aims to reduce delays and streamline communication between fund managers and regulators. Details remain under discussion, including which cryptocurrencies will qualify for this process. The SEC has not confirmed which issuers may benefit from the new system.

SEC Issues New Disclosure Guidelines

On July 1, the SEC’s Division of Corporation Finance published updated requirements for crypto ETF filings. The guidelines apply to both spot and derivative-based crypto ETPs. These funds are registered under the Securities Act of 1933 and the Exchange Act of 1934.

The agency outlined key information that issuers must disclose. This includes how to calculate net asset value and how to choose service providers. Issuers must also describe their custody and insurance practices. The SEC wants clear explanations of how funds select and value underlying assets.

In addition, the regulator will examine how affiliated entities could cause conflicts of interest. Issuers must also describe creation and redemption procedures during market stress. These requirements apply to all funds seeking approval under the new or existing processes.

More Crypto Funds in the Pipeline

The SEC has a backlog of pending crypto ETF proposals. Many of these have final deadlines set for late 2025. Proposals include funds for Litecoin, Dogecoin, Solana, and XRP. Some applications also request permission to offer staking features for Ether funds.

The SEC recently approved the REX Shares Solana ETF. This fund includes staking rewards as part of its strategy. The agency also approved Grayscale’s request to convert its Digital Large Cap Fund into a spot ETF. The fund holds a mix of cryptocurrencies and will now trade on U.S. exchanges.

Industry Sees Shift Toward Standardization

The SEC’s recent steps mark a clear move toward standardized oversight for token-based ETFs. With strong investor interest in spot Bitcoin ETFs, demand for more diverse products is growing. Multi-token funds have remained rare, but this may change.

The new listing process, if adopted, would give issuers a clearer and faster path. At the same time, the SEC aims to ensure investor protection through detailed disclosures.