Catenaa, Wednesday, July 23, 2025- The US Securities and Exchange Commission has granted, then swiftly suspended, the conversion of the Bitwise 10 Crypto Index Fund into an exchange-traded fund, raising new questions over regulatory clarity for crypto products.
On Tuesday, the SEC’s Division of Trading and Markets issued an “accelerated approval” for Bitwise’s proposed ETF conversion.
However, just hours later, SEC Assistant Secretary Sherry R. Haywood issued a stay under Rule 431, halting the approval pending further commission review.
The abrupt reversal mirrored a similar decision earlier this month involving Grayscale’s Digital Large Cap Fund.
The Bitwise 10 Crypto Index Fund, listed under the ticker “BITW,” tracks a basket of major digital assets, including Bitcoin, Ethereum, XRP, and Solana. Bitwise did not immediately comment on the development, while the SEC declined to discuss individual filings.
Analysts say the move reflects internal friction at the agency as it weighs a broader regulatory framework for crypto ETFs.
A Bloomberg report and Van Buren Capital’s Scott Johnsson reports said the pause may be strategic, either to manage dissent within the commission or to await a new listing standard.
Currently, crypto ETF approvals require a time-intensive 19b-4 filing process, which the SEC is considering streamlining.
