The U.S. SEC has again delayed Grayscale’s ETF proposals for Solana and Litecoin. Meanwhile, the regulatory agency opened a public comment period on 21Shares Dogecoin ETF and BlackRock’s proposals to allow in-kind redemptions for its Bitcoin ETFs.
In its latest filing, the U.S. SEC acknowledged ongoing discussions about regulatory frameworks, hinting that altcoin ETFs could still see approval in the future. The agency emphasized its procedural transparency, noting that although it had yet to reach a definitive decision, it was keen to gather input regarding these proposals.
ETF analysts James Seyffart and Eric Balchunas described the current cycle of delays as routine. Seyffart said the delay was “expected,” and most of the affected products faced final deadlines no earlier than October. Balchunas added that the U.S. SEC was unlikely to issue substantive approvals until recently confirmed Chair Paul Atkins completed internal meetings and strategy sessions with staff.
Regulatory agency extends review period for Solana and Litecoin ETFs
💥BREAKING
SEC DELAYS DECISION ON GRAYSCALE’S SPOT SOLANA ETF. pic.twitter.com/plI2Jz8ujq
— DustyBC Crypto (@TheDustyBC) May 13, 2025
The regulator extended its review of the Grayscale Solana Trust to evaluate whether the listing met investor protection standards and market integrity requirements. It has up to 240 days to make a final decision, setting a deadline for October. If approved, the trust would hold SOL and trade on NYSE Arca.
The agency also instituted proceedings to further assess whether the listing of the spot Litecoin ETF from Grayscale aligned with requirements under the Securities Exchange Act. However, the Litecoin Foundation said that on May 13th, the regulatory agency was expected to issue a decision on the proposed Litecoin exchange-traded fund filed by Grayscale, converting their Litecoin Trust to an ETF listing on the NYSE. There will be an initial 21-day comment period followed by a 35-day rebuttal period after the application hits the federal register.
“Pursuant to Section 19(b)(2)(B) of the Act, the Commission is instituting proceedings to allow for additional analysis of the proposed rule change’s consistency with Section 6(b)(5) of the Act.”
According to the regulators, Section 6(b)(5) of the Act required, among other things, that the rules of a national securities exchange be “designed to prevent fraudulent and manipulative acts and practices” and “to protect investors and the public interest.” The new filing deadlines for Grayscale spot Solana ETF and Litecoin ETF are August 11 and October 10, respectively.
Crypto prediction market Polymarket gave Grayscale’s Solana ETF an 82% chance of approval by December 31, 2025. The Litecoin ETF follows closely with an 80% chance.
U.S. SEC opens up Dogecoin and BlackRock’s proposals for comments
Nasdaq’s filing to amend BlackRock’s iShares Bitcoin Trust is now open for public comment. The proposed change would allow the fund to support in-kind redemptions, meaning authorized participants could create or redeem shares using Bitcoin directly rather than cash. The U.S. SEC initially approved the fund with a cash-only redemption mechanism in January.
The 21Shares Dogecoin ETF also entered its public comment phase following a filing to list under Nasdaq Rule 5711(d), which covers commodity-based trust shares. The ETF will track DOGE prices using a CF Benchmarks index and aims to provide Dogecoin exposure through traditional brokerage accounts. Public comments will help the SEC determine whether this redemption mechanism maintains sufficient protections for investors and maintains orderly market function.
According to the U.S. SEC, public comments will help the agency determine whether this redemption mechanism maintains sufficient protections for investors and maintains orderly market function.
Polymarket gave the 21Shares Dogecoin ETF a 62% chance of approval by December 31st and a 22% chance of approval by July 31st. However, the crypto prediction market had no approval bets on BlackRock’s iShares Bitcoin ETF.
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