Very Critical for Altcoin Rally: New SEC Chairman Expected for ETF Approvals! - Coin Bulletin

The approval of cryptocurrency ETFs may have to wait until the new chairman of the U.S. Securities and Exchange Commission takes office.

Former U.S. President Donald Trump nominated former commission member Paul Atkins for the SEC chairmanship. However, the Senate approval required for Atkins to take office has not yet occurred. The process of finalizing spot cryptocurrency ETF applications in the future may be delayed depending on Atkins taking office.

Bloomberg Intelligence analyst James Seyffart thinks that the SEC will likely delay ETF applications as much as possible in the current situation.

The SEC has decided to postpone spot ETF applications for cryptocurrencies such as Ripple (XRP), Solana (SOL), Dogecoin (DOGE), and Litecoin (LTC) on Tuesday. Although this situation may not be unexpected by the market, the fate of the applications depends on Atkins' approval, increasing uncertainty among investors.

(# New hope for Altcoin ETFs

While it takes years for the approval of Spot Bitcoin )BTC### and Ethereum (ETH) ETFs, the difficulty of approval for altcoin ETF applications is increasing due to similar criteria. SEC has previously considered the existence of regulated futures markets for the assets as a critical criterion when approving ETFs. However, none of the current altcoin ETF applications meet this criterion yet.

However, experts still see a 65% or higher probability of some altcoin ETF applications being approved by the end of the year with Atkins taking office. According to Bloomberg Intelligence, the decisions on ETFs in May and June seem more likely to be positive, while the final outcome will be shaped by the new president taking office. Considering the SEC's past practices, it currently seems unlikely to receive a quick approval, as the legal period for ETF applications has been fully utilized up to (240 days.