Bitwise was approved for a groundbreaking multi-crypto ETF, only to have the SEC’s top authority intervene later.

The suspension was initiated through Rule 431, a procedural measure in cases of divided opinion within the agency. This raises concerns about the steady progress of crypto regulation in the U.S.

“SEC Division of Trading & Markets has approved the Bitwise 10 Crypto Index ETF… However, like with the Grayscale Digital Large Cap ETF, this approval order is stayed.” — Nate Geraci, President of Novadius Wealth Management

“The SEC has officially APPROVED the Bitwise XRP ETF! ✅📈🇺🇸 #XRP #XRPCommunity” — BULLRUNNERS (@BullrunnersHQ)

The Bitwise 10 ETF was designed to mirror the performance of a selection of premier digital assets proportionate to their market capitalization. The ETF’s portfolio, locked at a certain date, consisted of:

• BTC - 78.72%
• ETH - 11.10%
• XRP - 4.97%
• Solana - 3.03%
• Smaller allocations to ADA, SUI, LINK, AVAX, LTC, and DOT.

At least 85% of the ETF’s composition comprises SEC-endorsed crypto ETFs, while the remainder is directed towards innovative tokens that await regulatory clearance.

Custodianship will lie with Coinbase Custody, while Bank of New York Mellon will manage fiat currencies.

What Does This Imply for Future Approvals?

The latest delay has sparked renewed criticisms of the SEC’s pace, even as the crypto ecosystem reinforces the frameworks the agency demanded.

“The delay is perplexing given the ETF meets all institutional requirements such as secure custody and compliance.” — Nate Geraci, Novadius Wealth Management

While the ETF remains in a bureaucratic standstill, interest in regulated cryptocurrency options continues to intensify.