The US SEC has postponed its decision regarding in-kind redemptions for Bitwise’s Bitcoin (BTC) and Ether (ETH) spot ETFs traded on NYSE Arca. This extension allows the SEC additional time to evaluate the proposed rule change, which could enable investors to redeem ETFs for the underlying assets, potentially leading to tax implications for asset holders. This move aligns with previous SEC behaviors, as the body has been known to delay decisions on crypto-related matters. The SEC’s current stance reflects changes in approach under the Trump administration, with a promise from the new leadership, led by Gary Gensler's successor, to prioritize regulatory clarity and foster innovation within the crypto space. The recent extension continues a trend of cautious regulatory scrutiny surrounding cryptocurrency products, as the agency navigates its responsibilities amid evolving market dynamics.

Source 🔗