The U.S. Securities and Exchange Commission (SEC) has officially introduced simplified listing standards for crypto exchange-traded funds (ETFs), marking a major turning point for the digital asset market. By reducing the review timeline for applications from 240 days to just 70 days, the regulator is making it significantly easier for issuers to bring new products to market. This streamlined framework is expected to boost investor access while creating more opportunities for innovation in the crypto-financial sector.
According to the SEC’s published document, the Commission now has “sufficient grounds for early approval of proposals” even before the typical 30-day notice period expires in the Federal Register. The updated criteria cover listings on Nasdaq, NYSE Arca, and Cboe BZX, requiring ETFs to either track assets traded on Intermarket Surveillance Group (ISG) venues or be based on a futures contract listed for at least six months on a regulated exchange. Additionally, funds must track an asset that already represents at least 40% of another registered ETF listed on a national securities exchange. Platforms that do not meet these conditions will still need to submit individual applications.
SEC Chairman Paul Atkins emphasized that these changes will ensure U.S. capital markets remain “the best place in the world for advanced financial innovation.” He highlighted that the decision will broaden investor choice while lowering barriers for accessing crypto-based instruments.
The impact is already visible. On September 17, the SEC approved the listing of the Grayscale Digital Large Cap Fund, the first ETF tied to multiple digital assets. This fund includes Bitcoin, Ethereum, XRP, Solana, and Cardano, signaling regulators’ readiness to support diversified crypto investment products.
Industry analysts view the move as a milestone. Bloomberg’s James Seyffart described the decision as “the structure for crypto ETFs that the market has been waiting for,” predicting that new investment products will launch in the U.S. “in the coming weeks and months.” Fellow analyst Eric Balchunas highlighted that the new rules align with the Securities Act of 1933, eliminating excessive case-by-case bureaucracy. He expects at least 100 new crypto ETFs to debut within the next year, as many altcoins such as Litecoin, Dogecoin, Polkadot, and Avalanche meet the SEC’s updated requirements.
Currently, the Commission is reviewing more than 90 pending applications from issuers, a clear sign of the surging demand for regulated digital asset products. Experts believe this regulatory shift could significantly expand the institutional adoption of cryptocurrencies, pushing them further into mainstream finance.
In conclusion, the SEC’s new framework for crypto ETFs represents more than just procedural efficiency—it is a powerful signal that the U.S. is preparing to integrate digital assets deeper into its financial ecosystem. By balancing investor protection with market growth, the regulator is setting the stage for a wave of crypto-based financial instruments that could redefine investment opportunities in the coming years.
