A Green Light, Then a Red Light: Why the SEC Is Pausing New Altcoin ETFs

The U.S. SEC approved the Bitwise 10 Crypto Index Fund (BITW) but issued a stay order. A similar move happened with Grayscale’s Digital Large Cap Fund. The U.S. SEC has been prioritizing the development of comprehensive guidelines for crypto ETFs. The SEC’s Division of Trading and Markets approved the Bitwise 10 Crypto Index Fund (BITW) for conversion into a spot ETF on July 22. But in a confusing twist, the agency’s leadership quickly issued a “stay order,” pausing that same approval for a full review. The BITW fund invests in Bitcoin (BTC), Ethereum (ETH), XRP, Solana (SOL), Cardano (ADA), Sui (SUI), Litecoin (LTC), Polkadot (DOT), Chainlink (LINK), and Avalanche (AVAX). The stay order on the BITW fund mirrors a similar move on Grayscale’s Digital Large Cap Fund ETF conversion earlier in July 2025. As a result, the stay order suspends the BITW fund launch until the SEC decides to uphold, modify, or overturn the approval. (adsbygoogle = window.adsbygoogle || []).push({}); Why Is the SEC Staying ETF Approvals While the new U.S. SEC administration under Chair Paul Atkins has shifted to a more crypto-friendly approach, the agency rem… The post A Green Light, Then a Red Light: Why the SEC Is Pausing New Altcoin ETFs appeared first on Coin Edition .

Source: Coin Edition