• The U.S. Securities and Exchange Commission (SEC) initially approved the conversion of the Bitwise 10 Crypto Index Fund into an exchange-traded fund (ETF), but quickly withdrew its accelerated approval.
• According to a document dated July 22, 2025, the decision was first issued by the SEC's Division of Trading and Markets.
• However, Assistant Secretary Sherry R. Haywood later announced that the matter would be reviewed by the full Commission.

In its official notice, a representative of the SEC cited Rule 431, which allows the agency to suspend a decision until further notice pending a full review. The SEC declined to comment on the ongoing review, citing agency policy. Bitwise also did not immediately respond to requests for comment.

The Bitwise 10 fund, which trades under the ticker BITW, consists of cryptocurrencies weighted by market capitalization, including major assets such as Bitcoin, Ethereum, XRP, Solana, and Polkadot. Previously, the fund was available only over-the-counter. The move to transform it into an ETF was widely anticipated, as requests for crypto fund conversions have increased in recent months.

A similar episode happened with the Grayscale Digital Large Cap Fund. Its application to convert into an ETF also initially received accelerated approval, which the SEC later put on hold. Grayscale continues to press for listing, indicating it is prepared to pursue further legal avenues if necessary.

The SEC has not yet officially commented on the reasons for these suspensions, but analysts have proposed several theories. Van Buren Capital General Partner Scott Johnson suggests the initial approval may have been issued to facilitate further review or intervention by Commissioner Caroline Crenshaw, who is known for her skepticism toward cryptocurrencies. Johnson also noted that political changes within the SEC may be affecting the approval process.

Bloomberg Intelligence analyst Eric Balchunas agreed, adding that the SEC is likely delaying decisions while it works to develop a unified framework for crypto ETF listings. He speculates that the agency aims to replace the lengthy 19b-4 filing process with a more streamlined review mechanism.

As the industry awaits further SEC guidance, the future of crypto ETF approvals—and their role in the broader financial markets—remains uncertain.

• The U.S. Securities and Exchange Commission (SEC) initially approved the conversion of the Bitwise 10 Crypto Index Fund into an exchange-traded fund (ETF), but quickly withdrew its accelerated approval.
• According to a document dated July 22, 2025, the decision was first issued by the SEC's Division of Trading and Markets.
• However, Assistant Secretary Sherry R. Haywood later announced that the matter would be reviewed by the full Commission.

In its official notice, a representative of the SEC cited Rule 431, which allows the agency to suspend a decision until further notice pending a full review. The SEC declined to comment on the ongoing review, citing agency policy. Bitwise also did not immediately respond to requests for comment.

The Bitwise 10 fund, which trades under the ticker BITW, consists of cryptocurrencies weighted by market capitalization, including major assets such as Bitcoin, Ethereum, XRP, Solana, and Polkadot. Previously, the fund was available only over-the-counter. The move to transform it into an ETF was widely anticipated, as requests for crypto fund conversions have increased in recent months.

A similar episode happened with the Grayscale Digital Large Cap Fund. Its application to convert into an ETF also initially received accelerated approval, which the SEC later put on hold. Grayscale continues to press for listing, indicating it is prepared to pursue further legal avenues if necessary.

The SEC has not yet officially commented on the reasons for these suspensions, but analysts have proposed several theories. Van Buren Capital General Partner Scott Johnson suggests the initial approval may have been issued to facilitate further review or intervention by Commissioner Caroline Crenshaw, who is known for her skepticism toward cryptocurrencies. Johnson also noted that political changes within the SEC may be affecting the approval process.

Bloomberg Intelligence analyst Eric Balchunas agreed, adding that the SEC is likely delaying decisions while it works to develop a unified framework for crypto ETF listings. He speculates that the agency aims to replace the lengthy 19b-4 filing process with a more streamlined review mechanism.

As the industry awaits further SEC guidance, the future of crypto ETF approvals—and their role in the broader financial markets—remains uncertain.