- The back and forth of the SEC when admission of the Bitwise ETF gives up puzzles. Apparently the left hand in the authority does not know what the rights do.
- The institutional demand for crypto ETFs is unbroken, with Ethereum ETFs having tributaries of $ 533 million on July 22nd.
The US stock exchange supervision SEC surprised the market on July 22 with an accelerated approval of the 10 Crypto Index ETF from Bitwise, only to revoke it a few hours later.
The ETF, which is supposed to include market-leading cryptocurrencies such as Bitcoin, Ethereum, XRP, Solana and Cardano, was initially approved as part of a delegate authority, but was quickly stopped by a suspension order of the deputy second secretary Sherry R. Haywood.
The ETF, requested by Bitwise, is said to depict ten crypto-assets with an allocation of at least 85% in previously approved cryptocurrencies, mainly Bitcoin and Ethereum. The NYSE Arca was authorized to change its stock exchange registration rules in order to take into account the multi-asset fund.
The Department for Trade and Markets of the SEC initially approved the ETF because it met the requirements of the Börsengesetz to prevent fraud and to protect investors. But after a few hours the authority revoked its approval and wants to review the application again.
: SEC playing games again?
They approved Bitwise’s crypto ETF then paused it… why?
Because it includes $XRP & $ADA no standalone ETFs yet.
Same trick they pulled on Grayscale.
Political game or fair review? You decide. https://t.co/G6JOaJiWXc pic.twitter.com/hXMjEkdHs2
— 𝕏aif
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(@Xaif_Crypto) July 23, 2025
Apparently controversial approval criteria
The Bitwise ETF would be a novelty under the previously existing fund when it would map more than a single investment value. Its structure provides for a monthly new weighting according to market capitalization, with Bitcoin making 78.72 % and Ethereum 11.10 % on June 30th. In addition, XRP, Solana, Cardano, Sui, Avalanche, Litecoin and Polkadot would be in the fund.
In the past, the SEC has accelerated permits that were considered undisputed and agreed with previous regulatory decisions. The 85%allocation threshold of BitWise for already approved components corresponds to previous guidelines that reduce the risk of fraud and market manipulation.
The stock exchange -traded fund would have approved the trusted liability and index -based plants issued by companies with limited liability, whereby the Coinbase Custody Trust Company acted as a custody account and the Bank of New York Mellon as cash manager.
Despite these preparations, the sudden postponement shows the commission’s hesitation in relation to a broader approval of multi-asset crypto products. This hesitation shows itself even when the SEC is confronted with over 70 pending crypto ETF applications by companies such as Grayscale, Coinshares, Franklin Templeton and Vaneck.
Growing institutional demand
Despite the SEC decision chaos, the institutional interest in crypto ETFs remains great. On July 22, Ethereum-ETFs recorded net inflows of $ 533.87 million and thus one of the largest growth in one day since it was led. The Etha from Blackrock led the increase of $ 426.22 million and manages assets of over 10 billion USD.
Despite a net drainage of $ 67.93 million, Bitcoin ETFs still hold around $ 154.77 billion in assets on the same day, which corresponds to about 6.5 % of Bitcoin market capitalization.
The GBTC of Grayscale recorded tributaries of $ 7.51 million, while the ARKB from ARK Invest and Bitb funds from Bitwise recorded drainage of over $ 30 million. In the meantime, the ETF pipeline continues to diversify with applications such as meme tokens such as Dogecoin and projects such as the native token from Ondo Finance.
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