The U.S. Securities and Exchange Commission has postponed its verdict on Grayscale’s proposed Solana and Litecoin exchange-traded funds, extending a review that now stretches well into the summer. At the same time the agency invited public comments on BlackRock’s plan to shift its flagship Bitcoin ETF to an in-kind redemption model and on Nasdaq’s bid to list the 21Shares Dogecoin ETF. The moves underscore Washington’s cautious yet increasingly structured approach to bringing a wider range of crypto assets into the regulated fund universe. Solana Trust Under Microscope Staff will spend the coming weeks determining whether Grayscale’s Solana Trust satisfies investor-protection and market-integrity requirements set out in Section 6(b)(5) of the Securities Exchange Act. If approved the vehicle would hold SOL tokens in cold storage and trade on NYSE Arca, giving retail investors indirect exposure without setting up self-custody. The SEC has up to 240 days—and multiple chances to pause the clock—before issuing a final ruling, meaning the earliest green light could slip past September. Litecoin Also Waits Grayscale’s Litecoin Trust received a parallel delay as commissioners opened formal proceedings to gather additional evidence and rebuttals. Questions center on whether Litecoin markets are sufficiently surveilled to detect manipulation and whether existing futures oversight on the Chicago Mercantile Exchange offers a viable benchmark. Both altcoin filings remain on hold until staff completes the deeper dive mandated by Tuesday’s notice. BlackRock Reworks Bitcoin Redemption Model Separately, Nasdaq’s filing to amend the iShares Bitcoin Trust is now in a 21-day comment window that will test appetite for so-called in-kind redemptions. Under the proposal authorized participants could exchange ETF shares directly for Bitcoin rather than cash, a structure BlackRock says would reduce tracking error and capital-gains events. The SEC approved the fund in January with a cash-only mechanism but signaled openness to alternative workflows once operational safeguards were in place. Industry lawyers expect a decision on the amendment before the fourth quarter, provided no major objections arise during the rebuttal phase. Dogecoin ETF Opens to Feedback Nasdaq also submitted paperwork to list the 21Shares Dogecoin ETF under Rule 5711(d), the same framework used for commodity-based trust shares like gold. The passive fund intends to mirror Dogecoin’s price via a CF Benchmarks reference rate and store coins with regulated custodian Coinbase. Backers view the meme-coin product as a litmus test for how far the SEC is willing to extend spot-crypto approvals beyond the large-cap duo of Bitcoin and Ether. Why the SEC Is Pressing Pause New Chair Paul Atkins has vowed to replace the previous regime’s enforcement-first posture with clearer rulemaking but insists each novel ETF “meets the law as written.” Delays allow staff to solicit data on trading volumes, offshore liquidity, and correlation between spot and futures prices—metrics commissioners say are key to detecting wash trades. The agency also weighs whether surveillance-sharing agreements with major platforms will meaningfully curb insider manipulation before retail money can flow in. Altcoin ETF Pipeline Widens At least a dozen issuers, including 21Shares, Bitwise, and WisdomTree, have registered or signaled intent to launch funds tied to XRP, Avalanche, and even meme-tokens like Shiba Inu. Bloomberg Intelligence estimates that more than $15 billion could migrate into altcoin funds within two years if the SEC gives even a handful the green light. For now, however, only Bitcoin and Ether spot products have crossed the finish line, and both required multiyear legal tussles. Market Reaction and Outlook Prices for SOL and LTC drifted lower after the notice, though most analysts attributed the dip to broader risk-off sentiment rather than the procedural delay. Dogecoin held steady near $0.28 as traders judged the start of a comment period to be net positive, keeping hopes alive for a first-of-its-kind meme-coin ETF. Strategists at Galaxy Digital wrote in a note that the SEC’s staggered approach “signals momentum, not resistance,” provided applicants can supply robust market-surveillance data. Still, they cautioned that a single high-profile hack or manipulation incident could prompt regulators to reapply the brakes. Timeline From Here Commenters have until June 4 to weigh in on BlackRock’s amendment and until June 7 on the Dogecoin proposal, after which rebuttals may be filed for an additional 35 days. The Solana and Litecoin dockets now await a second SEC extension, a step that would push the ultimate decision into early autumn. Market participants will track those deadlines closely, viewing each incremental action as a barometer of how quickly U.S. regulators are prepared to mainstream the next wave of crypto assets.
