SEC Considers Crypto ETF Changes
SEC May Allow Crypto ETFs to Launch Without 19b-4 Filing
The US Securities and Exchange Commission (SEC) is reportedly considering a major overhaul of its crypto exchange-traded fund (ETF) approval process. Early discussions between the SEC and exchanges suggest a potential move towards a generic listing protocol. This could significantly speed up the launch of crypto ETFs.
Key Changes Under Consideration
- Eliminating the 19b-4 Filing: Crypto ETFs meeting specific criteria might bypass the lengthy 19b-4 rule-change filing process.
- Simplified Approval Process: Issuers could potentially submit a standard S-1 registration statement and, after a 75-day review, launch their ETF directly on the exchange.
This streamlining represents a significant departure from the current two-step process (S-1 registration and 19b-4 filing), which often results in delays and complications.
Criteria for Qualifying Tokens
While details remain under discussion, the proposed criteria for qualifying tokens are expected to center around established market metrics. These are likely to include:
- Market Capitalization
- Daily Trading Volume
- Liquidity Across Regulated Markets
This development comes as numerous asset managers eagerly await SEC decisions on their pending crypto ETF applications. The potential shift in the regulatory landscape could drastically impact the speed and ease of crypto ETF market entry.
This is a developing story. Check back for updates.
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