The SEC has postponed applications for the HashDex Bitcoin spot ETF and the Grayscale Ethereum ETF

Authors: Nikhilesh De, CoinDesk, Compiler: Song Xue, Golden Finance

The U.S. Securities and Exchange Commission (SEC) has postponed its decision on Hashdex’s application to convert its existing Bitcoin futures exchange-traded funds (ETFs) into spot instruments. The agency has also postponed its action against Grayscale’s attempt to launch a new futures-based Ethereum ETF. **

Hashdex applied in September to convert its Bitcoin futures ETF into a spot Bitcoin ETF. Grayscale submitted an application for an Ethereum futures ETF in the same month. Both documents face an initial deadline of Nov. 17 for a decision, but the SEC said today it would extend that window, based on two filings filed Wednesday.

These delays come amid growing expectations from federal regulators to approve spot Bitcoin ETFs, which have so far rejected all attempts to list such products to the general investing public. More than a dozen companies have already applied to launch spot Bitcoin ETFs in 2023, and several others are currently applying for similar products related to Ethereum, the second-largest cryptocurrency by market capitalization.

The regulator has not yet indicated how the latest list of applicants will ultimately be decided. The previous rejection has raised concerns about Bitcoin’s vulnerability to market manipulation and the lack of oversight of sharing protocols. The applicants have now indicated that these concerns have been addressed or are no longer relevant following the approval of the Bitcoin futures ETF, a view shared by the Court of Appeals earlier this year. So far, the SEC has postponed a final decision on the filings.

The delay doesn’t seem to have affected the price of Bitcoin (BTC), which has risen by more than 5% to $37,500.

Another Bitcoin ETF applicant**Franklin Templeton is also facing a Nov. 17 deadline, while other companies won’t see any further decisions until 2024. **