The United States Securities and Exchange Commission (SEC) has moved closer to approving new cryptocurrency ETFs, according to Bloomberg analyst Eric Balchunas.
The SEC’s “Listing Standards” for crypto ETPs is out via new exchange filing. BOTTOM LINE: Any coin that has futures tracking it for >6mo on Coinbase’s derivatives exchange would be approved (below is list). It’s about a dozen of the usual suspects, the same ones we had at 85% or… https://t.co/QlzZnta7Yv pic.twitter.com/CmBr8XxAcM
— Eric Balchunas (@EricBalchunas) July 30, 2025
The regulator has proposed listing standards focused on derivative markets.
The SEC will permit exchange-traded funds for cryptocurrencies whose futures have been traded for at least six months on Coinbase Derivatives or the Chicago Mercantile Exchange.
Balchunas described this rule as a “pretty big deal.” He noted that it paves the way for ETFs on about a dozen altcoins, adding that approval requires futures on the asset to have been traded for more than six months on Coinbase’s derivatives exchange.
Bloomberg analyst James Seyffart believes the SEC is effectively outsourcing decision-making to another agency.
If the rule is finalized as-is, the SEC pseudo outsourced the decision making for which digital assets will be allowed in an ETF wrapper. The CFTC is the primary decider of what asset can have futures contracts & having futures is the primary requirement of this rule proposal https://t.co/PVFfUKvuk5 pic.twitter.com/D8CEdwW5ir
— James Seyffart (@JSeyff) July 30, 2025
“CFTC decides which asset can have futures, and having futures is the main requirement of this rule,” he wrote.
Seyffart emphasized that the proposed standards do not mention market capitalization, liquidity, or the number of tokens in circulation.
Balchunas noted that this path is not suitable for meme coins or assets with less developed markets.
In terms of ETF-izing newer alt coins that don’t have futures or meme coins like Bonk and Trump coin etc, that would need to go through the 40 Act and so the $SSK Maneuver. So we could see that too but in a dif structure. History shows, 33 Act is preferred bc it is pure spot.
— Eric Balchunas (@EricBalchunas) July 30, 2025
For them, a more complex route through the Investment Company Act of 1940 would be required. Most spot crypto ETFs are regulated by the Securities Act of 1933, which issuers prefer due to its simpler requirements.
Balchunas estimates that the first approvals could occur as early as September or October. The rule change marks a significant milestone in integrating cryptocurrencies into traditional financial markets. It offers a clearer path for the emergence of ETFs on digital assets beyond Bitcoin and Ethereum.
Back in June, Balchunas predicted a “summer of altcoin ETFs.” He suggested that by July, the United States Securities and Exchange Commission could approve instruments based on a basket of cryptocurrencies.
In July, the first ETF based on Solana with a staking feature — REX-Osprey Solana Staking ETF — was launched in the United States.