The U.S. Securities and Exchange Commission (SEC) has postponed decisions on two closely watched cryptocurrency exchange-traded fund (ETF) proposals tied to Polkadot (DOT) and Hedera (HBAR)—a move that highlights the agency’s cautious approach amid a surge in digital asset fund applications.
In documents released Thursday, the SEC confirmed it would extend its review period until June 11 for Grayscale’s proposal to convert its existing Polkadot Trust into a spot ETF, as well as a separate application from Canary Capital to list a Hedera-based ETF on U.S. exchanges.
Originally slated for a decision this week, the SEC stated that it needs more time to examine the filings and “the issues raised therein.”
“The Commission finds it appropriate to designate a longer period within which to take action… so that it has sufficient time to consider the proposed rule change and the issues raised therein,” the filing noted.
In a related development, the agency also postponed a decision on Bitwise’s dual Bitcoin and Ethereum ETF proposal, shifting its deadline to June 10. These delays come as the SEC processes over 70 crypto-related ETF applications, with asset managers racing to expand offerings beyond the two digital assets—Bitcoin and Ethereum—that received spot ETF approvals in 2024.
A Softer Stance Under New Leadership
The ETF proposals from Grayscale and Canary, both submitted in February, are now facing extended timelines under the oversight of newly appointed SEC Chair Paul Atkins—a figure widely viewed as more crypto-friendly than his predecessors.
Since President Donald Trump’s return to office in January, the SEC has gradually shifted its tone. The commission has dropped multiple lawsuits against digital asset firms, initiated public roundtables with industry leaders, and opened the door to discussions on digital asset custody, disclosure, and ETF regulation.
The next crypto-focused roundtable—set for this Friday—will delve into custodial requirements for digital asset ETFs, as regulatory momentum continues to build.
While the SEC has made historic moves under legal pressure—most notably approving spot Bitcoin ETFs in January and Ethereum ETFs in July 2024—its current posture under Atkins suggests a broader strategic reassessment of the agency’s crypto framework. Industry insiders now view the SEC as more engaged and less combative, potentially paving the way for a new wave of institutional-grade investment products tied to altcoins.
Quick Facts
- The SEC has extended its review period for Grayscale’s Polkadot ETF and Canary Capital’s Hedera ETF to June 11, 2025.
- These delays reflect the agency’s effort to thoroughly evaluate the growing number of crypto-related ETF filings, now totaling over 70.
- New SEC Chair Paul Atkins has taken a more accommodative stance on crypto regulation, hosting industry roundtables and easing enforcement activity.
- Analysts view the SEC’s evolving posture as pivotal to mainstreaming altcoin-based ETFs and integrating digital assets into traditional financial markets.
