SEC Approves and Pauses Bitwise XRP ETF. Here’s the Latest

Key Points

1. The SEC initially approved Bitwise's request to list its crypto index fund as a spot ETF on NYSE Arca, which includes Bitcoin, Ethereum, XRP, ADA, SOL, and other altcoins.

2. Hours later, the SEC halted the approval under Rule 431(e), announcing a full Commission-level review without clear explanation.

3. The SEC's hesitation appears tied to the inclusion of XRP and ADA, which remain in a regulatory gray zone despite Bitcoin and Ethereum having approved spot ETFs.

4. This situation mirrors Grayscale's halted ETF launch earlier, which also included XRP, ADA, and SOL, suggesting a pattern of regulatory uncertainty.

5. Critics question whether the SEC's actions are fair regulation or political maneuvering, using bureaucratic tools to delay progress without formal denials.