3 hours ago
If the U.S. authorities shuts down this week, respective long-awaited cryptocurrency exchange-traded funds (ETFs) — including funds for solana (SOL) and litecoin (LTC) — could beryllium thrown into limbo conscionable arsenic they adjacent the decorativeness line.
Multiple plus managers person been successful adjacent connection with the Securities and Exchange Commission (SEC) implicit the past fewer months, revising their S-1 registration statements. These amended filings are often interpreted arsenic a awesome that the regulator is moving toward approval. But a national shutdown would grind astir of that enactment to a halt.
One idiosyncratic acquainted with the process said they judge immoderate approvals could inactive onshore arsenic soon arsenic adjacent week — assuming the authorities remains open. In particular, spot solana ETF applications are thought to beryllium close, with respective rounds of comments from the SEC already addressed. Issuers are inactive expected to record their last S-1 forms.
Adding to the momentum, the SEC past week asked listing exchanges to retreat their 19b-4 filings and re-submit nether the General Listing Standards — a procedural displacement expected aft those standards were approved earlier this year. That determination further hinted the bureau was preparing to greenlight caller products.
October is packed with determination deadlines. Canary Capital’s Litecoin ETF is owed for a effect by October 2. Several different applications look last deadlines betwixt October 10 and 24 — dates that present hazard slipping into a holding signifier if Congress fails to walk a backing measure earlier midnight this Tuesday.
A shutdown would furlough overmuch of the national government, including unit astatine the SEC. While a skeleton unit would enactment connected to grip "essential" business, it’s unclear whether crypto ETFs autumn into that category. In past shutdowns, regulatory reviews connected fiscal products were often paused unless deemed captious to marketplace stability.
There’s besides the anticipation that the SEC has already finalized overmuch of the paperwork down closed doors. That could let approvals to proceed earlier the deadlines — oregon adjacent during a shutdown — but that script remains speculative.
In the meantime, issuers and exchanges are near to wait, watching the calendar and Capitol Hill with increasing anxiety.
The ETF contention — peculiarly for spot crypto products — has heated up successful 2025 aft the SEC's astonishment support of aggregate spot bitcoin ETFs successful 2024. Many of the aforesaid firms down those products are present pushing for funds tied to alternate assets similar Solana and Litecoin, aiming to grow the roster of regulated concern options tied to crypto.
But for now, authorities whitethorn person the last say.
Correction (Sept. 30, 2025, 15:12 UTC): The authorities is owed to unopen down aft Tuesday.
English (US) 