New Crypto ETP Listing Standards: What the SEC Wants You to Know! 😲💰

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Ah, mesdames et messieurs! Gather ’round, for the U.S. SEC has unveiled a most curious set of ‘listing standards’ for those whimsical creatures known as crypto asset-based ETPs! What, pray tell, are the requirements for such a listing? Let us delve into this delightful drama!

In a most intriguing twist, the CBOE has reportedly bestowed upon us a list of approved tokens for these ETPs. One must wonder, what sorcery is this? One of the requirements, it seems, is that our dear crypto assets must frolic on the Designated Contract Market for no less than six months! A veritable courtship, if you will! 💃

  • Behold! The CBOE has shared a list of tokens that have received the royal seal of approval for ETPs.
  • Alas, the crypto assets must have a minimum exposure of six months on the Designated Contract Market. How romantic! 💘

According to the esteemed Bloomberg ETF analyst, Monsieur Eric Balhunas, our financial regulators have conjured what he whimsically dubs as new “listing standards” for crypto Exchange Traded Products. This revelation was unearthed in a filing addressed to the SEC from the CBOE, detailing the Generic Listing Standards for Crypto Asset ETPs. A mouthful, indeed!

As per the filing, the new rule proposed by the CBOE would allow an issuer’s shares to be listed on an exchange if the underlying digital asset has been engaged in a contract on a Designated Contract Market for a minimum of six months. Oh, the suspense! 🎭

“Provided that the exchange has a comprehensive surveillance sharing agreement, whether directly or through common membership in ISG, with such Designated Contract Market,” wrote the CBOE in their most formal of filings. How very bureaucratic! 🧐

Now, let us not forget the illustrious list shared by Balhunas, which boasts 18 coins from the crypto bazaar, including the likes of Litecoin (LTC), Dogecoin (DOGE), Polkadot (DOT), Avalanche (AVAX), Chainlink, Stellar, Solana (SOL), Hedera, Cardano (ADA), and many more! These tokens are allegedly poised to receive the SEC’s blessing for an ETP. A veritable parade of digital coins! 🎉

“Any coin that has futures tracking it for more than six months on Coinbase’s derivatives exchange would be approved (below is the list). It’s about a dozen of the usual suspects, the same ones we had at 85% or above in our odds,” quipped Balhunas in his post about the SEC’s filing. How delightfully predictable! 😏

This aligns with the market’s predictions, which have bestowed an 85% chance upon these same coins to be the first approved under the modern SEC rules. They are expected to make their grand entrance on U.S. exchanges around September 2025 or October 2025. Mark your calendars, mes amis! 📅

The SEC’s Previous Note on Crypto ETPs

In a previous act of this ongoing drama, the SEC announced that it has graciously approved in-kind creation and redemption for all spot Bitcoin (BTC) and Ethereum (ETH) ETFs. A most generous gesture!

On July 28, the agency finalized orders allowing participants to create and redeem shares of crypto ETPs using crypto as the underlying asset instead of cash. This means that ETPs can now utilize major tokens like Bitcoin and Ethereum as their foundation. How revolutionary! 💥

The same rule applies to all approved spot Bitcoin and Ethereum ETFs, including those from illustrious issuers like BlackRock, Fidelity, Ark Invest, and VanEck. The approvals were granted through accelerated processes to major exchanges, including Nasdaq, NYSE Arca, and Cboe BZX. A veritable feast for the financial elite! 🍽️

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2025-07-31 10:20