TLDR
- SEC’s October decisions on 16 crypto ETFs could impact Solana, XRP, and others.
- October ETF approvals could spark a new altcoin rally, say Bitfinex analysts.
- SEC’s streamlined approval process may lead to more crypto ETFs in the future.
- Hashdex expands its crypto ETF to include Solana, XRP, and Stellar.
October is shaping up to be a pivotal month for the cryptocurrency industry. With 16 crypto exchange-traded funds (ETFs) up for final approval by the U.S. Securities and Exchange Commission (SEC), the market is bracing for potential major changes. These funds cover various altcoins, including Solana (SOL), Litecoin (LTC), XRP (XRP), and Dogecoin (DOGE), and analysts are watching closely for signs that ETF approvals could spark a rally in altcoin prices.
Key ETF Decisions Loom in October
The SEC’s final decisions on 16 crypto ETFs are expected to take place throughout October. These decisions have been eagerly awaited by the crypto community, as they could impact a broad range of altcoins.
The first deadline falls on October 2, with a decision on the Canary Litecoin ETF. Following that, major asset managers such as Grayscale will have their applications reviewed, including a proposed conversion of their Solana and Litecoin trusts on October 10. The final decision for WisdomTree’s XRP fund is scheduled for October 24.
The SEC could approve all, some, or none of these ETFs before the final deadlines. However, the timing and decisions remain uncertain, which has created a sense of anticipation. These decisions are considered a significant moment for the cryptocurrency industry, as successful ETF approvals could make it easier for traditional investors to gain exposure to these cryptocurrencies through regulated products.
Analyst Predictions and Market Reactions
Analysts have been speculating on the potential outcomes of these ETF decisions. According to analysts at Bitfinex, approval of these ETFs could trigger a new rally in altcoins. Investors are hoping that these funds will provide a less risky way to invest in cryptocurrencies like Solana, Litecoin, and Dogecoin. “The next few weeks will be crucial,” noted Nate Geraci, president of NovaDius Wealth Management, emphasizing the importance of the upcoming deadlines.
Geraci and other analysts have pointed out that the SEC’s approval process has become more streamlined in recent months, offering hope that these ETFs might get approved in a more timely manner. While major players like Fidelity and BlackRock are not directly involved in these October deadlines, the approval of these ETFs could pave the way for future products from larger firms, signaling a shift toward wider adoption of crypto ETFs.
The SEC’s Changing Approach to Crypto ETFs
The SEC has been under increasing pressure to make a decision on crypto ETFs as the market has matured. The regulatory body has taken steps in recent months to make the approval process smoother. In mid-September, the SEC approved a new listing standard for commodity-based trust shares, which could speed up the approval process for future crypto ETFs. This policy shift suggests that the SEC may be open to approving more crypto funds in the near future.
James Seyffart, an ETF analyst at Bloomberg, pointed out that the SEC’s new listing standard could lead to a wave of crypto ETF launches in the coming months. The policy change could be a step toward more accessible and regulated products in the crypto space, potentially attracting more institutional investors who have been hesitant to enter the market due to regulatory uncertainties.
What’s Next for Crypto ETFs?
As October progresses, attention will remain on the SEC’s decisions regarding the 16 pending ETFs. While some market participants have placed high odds on approval in 2025, the upcoming weeks could offer a clearer picture of the SEC’s stance on crypto ETFs. As the regulatory landscape evolves, asset managers like Hashdex have already expanded their offerings to include additional coins like Solana and XRP in their crypto ETFs.
Despite the absence of major firms like Fidelity and BlackRock in October’s ETF deadlines, the developments this month could provide valuable insights into the SEC’s approach to cryptocurrency regulation. As the market waits, the outcome of these decisions could have lasting effects on the broader cryptocurrency market, influencing investor behavior and shaping future products in the space.
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