In spite of the recent recognitions of the Bag and Securities Commission (SEC) in several Spot Crypto Exchange Change (ETF) applications, it is unlikely that the agency makes decisions approved by these products until its leadership is resolved.
“I would have been very surprised if they approved any of these presentations before [Paul] Atkins was confirmed in his first deadlines, ”said James Seyffart, Bloomberg Intelligence ETF analyst. “It has been our assumption that anything that can be pushed until Atkins is officially in the SEC, will be backward.”
A person familiar with the matter told Coindesk that they agreed with that opinion. “This administration has shown the ability to break the precedent, so I suppose it is within the scope of the possibility of seeing an early approval. I would be surprised, but you never know, “said the person.
President Donald Trump appointed former sec commissioner and current CEO of Pathomak Global Partners Paul Atkins as his election to direct the agency. The former SEC president, Gary Gensler, resigned from the position in January before the inauguration of Trump. However, an audience for the confirmation of Atkins has not yet been scheduled.
The agency delayed decisions in several SPOT cryptographic ETF on Tuesday, including XRP, Solana (Sol), Dogecoin (Doge) and Litecoin (LTC), a movement that, although it was not completely expected, was not shocking either, according to Seyffart.
He took the emitters for years to receive the green lights of the SC at the launch of Spot Bitcoin (BTC) and ETF Ether (ETH), even though there had been a market of future regulated futures well established for both assets. While this is not a legal requirement to launch ETF based on an asset, it was an important criterion for the SEC in the launch of ETF linked to BTC and ETH.
None of the ETF applications currently meets the criteria. However, Seyffart and his colleagues are the chances of approval of several ETF of Altcoin by the end of the year to 65% or more. While some of the requests that a decision in May and June must have more likely to see an approval at that time, it all depends on the confirmation of the new president.
In its reviews of the Bitcoin and Ether applications past, the SEC generally takes advantage of the procedure delays that are allowed to extend the deadlines to about 240 days, as many time it has to approve or reject a request.
“Theoretically we should have a chair by then, but I would not necessarily say that it is guaranteed that these things will be approved immediately. Certainly more possible than the deadline of March and April for these different cryptography assets, “Seyffart said.
