The US Securities and Exchange Commission (SEC) has postponed its decision on Franklin Templeton’s application to launch a crypto-index exchange-traded fund (ETF) offering exposure to Bitcoin (BTC) and Ethereum (ETH) until January 6, 2025.
The SEC initially had a 45-day deadline to rule, which would have fallen on November 22. However, under Section 19(b)(2) of the Securities Exchange Act of 1934, the SEC may extend this period to 90 days. if it deems the additional time necessary to evaluate the rule change and any associated issues.
If approved, the Franklin Crypto Index ETF, submitted on August 17, would trade on the Cboe BZX Exchange under the Franklin Crypto Trust with the ticker EZPZ.
Thriving ETF ecosystem
Brazilian asset manager Hashdex filed to launch its own crypto index ETF in June. The Hashdex Nasdaq Crypto Index US ETF would track BTC and ETH.
At the same time, asset managers in the US are seeking approval for ETFs that track other cryptocurrencies, such as XRP, Solana (SOL), Hedera (HBAR) and Litecoin (LTC).
President Donald Trump’s victory in the US elections has resulted in increased market optimism, with many companies expecting a favorable regulatory environment for the sector in the coming months. VanEck previously stated that his Solana ETF was a “bet” on Trump’s re-election and expects the filing to be greenlit under his administration.
US regulators recently gave final approval to launch options trading for spot Bitcoin ETFs, namely BlackRock’s IBIT, Bitwise’s BITB and Grayscale’s GBTC.
IBIT options recorded a trading volume of almost $2 billion on its first day of trading, with analysts noting that the numbers were remarkable.
The report on the SEC’s postponement of Franklin Templeton’s crypto Index ETF until 2025 first appeared on CryptoSlate.