The United States Stock Exchange and Securities Commission probably arrested the launch of the Gran Scale Layers Cap Fund (GDLC) For administrative reasons, not political, multiple people familiar with the matter told Coindesk.
The SEC approved GDLC to Uplist as a background quoted in the stock market (ETF) On Tuesday through the delegate authority of the employees, which means that the regulator commissioners did not have to vote on the application. However, the regulator informed Grayscale and the New York Stock Exchange, GDLC’s listing partner, on Wednesday, the SEC commissioners will review the approval, stopping the life date of GDLC in the meantime.
GDLC is based on the Coindesk Index ‘Coindesk 5 index.
The launch arrest gives the SEC time to develop listing standards for other ETFs that would be launched under the same mechanism, individuals said.
There is also the fact that GDLC contains two digital assets: XRP
and Cardano, who currently do not have their own individual ETFs. Two of the other assets in the basket, Bitcoin and Ethereum, have had their own ETF since 2024, and the SEC has even accumulated previously containing both assets. Solana also saw its first launch of the ETF earlier this week, although applications for other ETFs linked to the asset remain under the review of the SEC.
The SEC faces deadlines at the end of this year for XRP, ADA and Sol applications.
James Seyffart, an ETF analyst at Bloomberg Intelligence, told COINDESK that the SEC’s pause “was not normal.” In a publication about X, he wrote that there are two possible reasons behind the movement.
“The SEC does not want to let anything be launched under the 19B-4 process until they officially approve or present some framework for digital assets in the ETF wrap.” The other option, he wrote, is that SEC wants to work on something in relation to a specific aspect of the background, for example, the structure.
In a statement, a spokesman for the gray scale said that the SEC pause “was unexpected”, but “reflects the dynamic and evolving nature of the regulatory landscape that surrounds a product of digital assets of the first of its kind as GDLC.”
“The gray scale remains committed to making the GDLC list as ETP and we are working closely with key stakeholders to meet all the necessary requirements. We will provide more updates as there is additional information available,” said the spokesman.
An 8 k presentation of Grayscale said that the company “remains committed to making the backlit list in Nyse Arca and continues to work in close collaboration with the key interested parties to obtain the approval of the application.”
