tl;dr
The US Securities and Exchange Commission (SEC) has delayed decisions on two proposed amendments related to crypto ETFs, extending review periods into June 2025. The delays affect Grayscale’s Ethereum staking filing and VanEck’s in-kind redemption filings for Bitcoin and Ethereum ETFs. The SEC set n...
The US Securities and Exchange Commission (SEC) has postponed decisions on two significant proposals related to cryptocurrency exchange-traded funds (ETFs), pushing the review deadlines into early June 2025. This move impacts Grayscale's Ethereum staking ETF proposal and VanEck's in-kind redemption amendments for Bitcoin and Ethereum ETFs.
Specifically, the SEC set June 1, 2025, as the new deadline for deciding Grayscale’s Ethereum staking filing. This proposal, initially filed on February 14, seeks to enable the Grayscale Ethereum Trust ETF (ETHE) and Grayscale Ethereum Mini Trust ETF to stake a portion of Ethereum held in custody. The SEC originally had a 45-day window concluding on April 17 but extended the review under Section 19(b)(2) of the Securities Exchange Act of 1934 to allow more careful evaluation.
On the same day, the SEC also delayed its decision on VanEck’s filings for in-kind creations and redemptions for the VanEck Bitcoin Trust (HODL) and VanEck Ethereum Trust (ETHV), extending the deadline to June 3, 2025. This amendment, filed on February 19, proposes to allow the creation and redemption of ETF shares with digital assets rather than cash. The initial 45-day review period was set to expire on April 19, but the Commission requires more time to consider regulatory and compliance issues.
Notably, no public comments have been submitted on either proposal to date. The extended deadlines give the SEC additional time for internal assessment or potentially opening proceedings to ensure the proposals meet applicable securities laws. These developments reflect the cautious approach regulators continue to take as crypto ETFs gain prominence.