SEC finally started building a framework. If prediction market ETFs can get standardized approval in this wave, the industry will truly enter the mainstream.

Wu learned that Bloomberg ETF analyst Eric Balchunas said the U.S. SEC has solicited public comments on new types of ETFs, partly due to the recent surge in prediction market ETF applications. The SEC aims to establish a unified framework to clarify which products are suitable for ETF issuance, standardize the approval process, reduce backlogs, and prevent issuers from gaining regulatory advantages by filing applications early.