The United States has approved universal listing standards! Are Crypto Assets ETFs about to explode?

On September 17, 2025, the U.S. Securities and Exchange Commission (SEC) made a landmark decision by approving the "Universal Listing Standard" for commodity-based exchange-traded products (ETPs). This decision is viewed as a significant breakthrough in the regulation of Crypto Assets, greatly simplifying the approval process for cryptocurrency ETFs and heralding a new era of product innovation and investment opportunities. The long and uncertain case-by-case review model will become a thing of the past, replaced by a more efficient and transparent standardized framework.

Fast Clearance Standards

Under the old regulations, the issuers and exchanges of Crypto Assets spot ETFs must undergo a cumbersome and lengthy approval process. Exchanges first need to submit a "19b-4 form" to apply for a rule change, while issuers must submit an "S-1 form" for registration statement, with the entire review cycle lasting up to 240 days. This case-by-case review approach is not only time-consuming and labor-intensive but also brings significant uncertainty to the market.

The newly passed universal listing standards have completely changed this situation. In the future, major exchanges including Nasdaq, NYSE Arca, and Cboe BZX will be able to directly advance the listing of Crypto Assets ETFs, as long as the proposed Crypto Assets ETFs meet the preset standards, without the need for an independent approval process by submitting Form 19b-4. This will significantly shorten the approval time from a maximum of 240 days to 75 days. SEC leader Paul Atkins emphasized in a statement that this move aims to eliminate barriers, maximize the range of choices for investors, and promote innovation in the digital asset sector.

To comply with the new general listing standards, the underlying assets of the Crypto Assets ETF must meet at least one of the following conditions: The trading market must be a member of the "Intermarket Surveillance Group (ISG)" and have an effective monitoring sharing agreement. The futures contracts for the asset must have been traded on a regulated designated contract market (such as CME or Coinbase Derivatives Exchange) for at least six months. Another ETF listed on a national exchange has allocated more than 40% to this asset.

It is worth noting that these standards do not apply to leveraged and inverse ETF products. If a product does not meet any of the above standards, the exchange must still submit a separate rule change application to the SEC following the traditional 19b-4 process.

ETF listing wave

The SEC's decision has sparked a strong response in the industry. Bloomberg ETF analyst James Seyffart referred to it as "the long-awaited encryption ETP framework," and anticipates a wave of spot encryption ETP listings in the coming weeks to months. His colleague Eric Balchunas made an even bolder prediction, stating that given the triple increase in issuance after the implementation of general listing standards for traditional ETFs in 2019, we may see more than 100 new Crypto Assets ETFs listed within the next 12 months.

Since the approval of the first Bitcoin spot ETF in January 2024, the market has been anticipating more types of Crypto Assets products. The new universal listing standards undoubtedly pave the way for spot ETFs of altcoins such as Solana (SOL), Ripple (XRP), Litecoin (LTC), and Dogecoin (DOGE). According to analysis, as long as a Crypto Asset's futures have been traded on a compliant exchange for six months, it becomes eligible for this "fast track."

At the same time, the SEC also approved Grayscale's application to convert the Grayscale Digital Large Cap Fund (GDLC) into an ETP, which holds assets including Bitcoin, Ether, XRP, Solana, and Cardano, making it one of the first multi-coin crypto ETPs in the U.S. market. This is seen as a strong signal from regulators regarding broader acceptance of digital assets.

New Era of Crypto Investment

The SEC's approval of the general listing standards is another key step toward the maturity and mainstreaming of the U.S. Crypto Assets market, following the Bitcoin and Ethereum spot ETFs. It not only provides asset management companies and exchanges with clear rules and a predictable path but also opens the door for a wider range of regulated Crypto Assets investments for a large number of investors.

Although the market still needs to cope with challenges such as the inherent volatility of Crypto Assets, this structural breakthrough in regulation will undoubtedly attract more institutional capital inflow, enhance market liquidity, and accelerate the integration of digital assets as an independent asset class into the traditional financial system. An era of flourishing Crypto Assets ETF products seems no longer distant.