Grayscale ETF Conversion Hits Regulatory Freeze Despite SEC Approval
The post Grayscale ETF Conversion Hits Regulatory Freeze Despite SEC Approval appeared on BitcoinEthereumNews.com. AltcoinsRegulations Grayscale’s plan to convert its Digital Large Cap Fund (GDLC) into an ETF hit a wall just as it got the go-ahead. Despite receiving SEC approval on July 1, the transition has been put on hold by an unexpected stay order, effectively halting trading plans for now. The sudden pause has sparked speculation among analysts. Bloomberg’s James Seyffart suggested that either internal SEC reviews are still underway, or the regulator might be holding off on all token-based ETF activity until a standardized framework is finalized. Meanwhile, fellow analyst Eric Balchunas theorized that the SEC could be stalling until other single-asset crypto ETFs—like those tracking Solana, XRP, or Cardano—are rolled out first. Grayscale’s GDLC fund, which includes major tokens such as Bitcoin, Ethereum, and Solana, currently holds roughly $775 million in assets. The approved conversion would shift the fund from a closed-end format to an ETF model with in-kind redemptions—once the freeze is lifted. Behind the scenes, the SEC is rumored to be working with exchanges to streamline crypto ETF approvals by introducing a universal listing standard. This would eliminate the need for case-by-case reviews and allow issuers to follow a single, clearer process—potentially accelerating timelines for other pending applications, including those from Bitwise, Franklin Templeton, and Hashdex. A key deadline for Bitwise’s ETF filing is set for July 31, a date that may mark the unveiling of this anticipated regulatory overhaul. Author Alexander Zdravkov Reporter at Coindoo Alexander Zdravkov is passionate about questions of meaning. He is a fluent German speaker as well as He has been in the crypto space for more than three years and has an eye for spotting emerging trends in the world of digital currencies. Whether providing in-depth analysis or reporting on all topics on a daily basis, his deep understanding and enthusiasm for…
The post Grayscale ETF Conversion Hits Regulatory Freeze Despite SEC Approval appeared on BitcoinEthereumNews.com.
AltcoinsRegulations Grayscale’s plan to convert its Digital Large Cap Fund (GDLC) into an ETF hit a wall just as it got the go-ahead. Despite receiving SEC approval on July 1, the transition has been put on hold by an unexpected stay order, effectively halting trading plans for now. The sudden pause has sparked speculation among analysts. Bloomberg’s James Seyffart suggested that either internal SEC reviews are still underway, or the regulator might be holding off on all token-based ETF activity until a standardized framework is finalized. Meanwhile, fellow analyst Eric Balchunas theorized that the SEC could be stalling until other single-asset crypto ETFs—like those tracking Solana, XRP, or Cardano—are rolled out first. Grayscale’s GDLC fund, which includes major tokens such as Bitcoin, Ethereum, and Solana, currently holds roughly $775 million in assets. The approved conversion would shift the fund from a closed-end format to an ETF model with in-kind redemptions—once the freeze is lifted. Behind the scenes, the SEC is rumored to be working with exchanges to streamline crypto ETF approvals by introducing a universal listing standard. This would eliminate the need for case-by-case reviews and allow issuers to follow a single, clearer process—potentially accelerating timelines for other pending applications, including those from Bitwise, Franklin Templeton, and Hashdex. A key deadline for Bitwise’s ETF filing is set for July 31, a date that may mark the unveiling of this anticipated regulatory overhaul. Author Alexander Zdravkov Reporter at Coindoo Alexander Zdravkov is passionate about questions of meaning. He is a fluent German speaker as well as He has been in the crypto space for more than three years and has an eye for spotting emerging trends in the world of digital currencies. Whether providing in-depth analysis or reporting on all topics on a daily basis, his deep understanding and enthusiasm for…
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