SEC Delays Solana and Litecoin ETF Decisions; Upcoming Verdicts on XRP, Polkadot, and DOGE ETFs in June

The U.S. Securities and Exchange Commission (SEC) has delayed its decision on Grayscale’s proposed spot Solana (SOL) exchange-traded fund (ETF), marking another setback for crypto-backed financial products in the United States. The extension pushes the final decision deadline to October 2025, prolonging market anticipation. A similar delay for a Litecoin (LTC) ETF by asset manager Canary Capital was announced earlier this month.

These delays come as part of the SEC’s cautious approach toward crypto-linked investment vehicles, often utilizing the full 240-day evaluation period before rendering a final judgment.

Despite the regulatory holdups, market sentiment remains largely bullish. According to crypto prediction market Polymarket, there is an 82% chance that a Solana ETF will be approved by year-end, and an 80% chance for Litecoin. These numbers reflect growing confidence in the future integration of crypto products into traditional finance.

Looking ahead, several key ETF applications are under review with imminent deadlines in June:

Polkadot (DOT): Grayscale’s ETF decision is expected by June 11, while 21Shares’ DOT ETF faces a deadline on June 24.

XRP and Dogecoin (DOGE): The SEC must respond to Franklin Templeton’s XRP ETF and Bitwise’s DOGE ETF by June 17.

While these deadlines are nearing, history suggests they too may face extensions, given the SEC’s conservative stance on crypto ETFs. Analysts note that spot ETFs are critical to boosting institutional access and liquidity in the crypto sector. The success of U.S. spot Bitcoin ETFs in early 2024 — which accounted for nearly 75% of new institutional investments — is a testament to this.

If approved, a Solana ETF could open doors for regulated exposure to the altcoin, encouraging broader adoption among traditional investors. Experts believe it could attract billions in capital over time, even if it doesn’t match the scale of Bitcoin ETFs.

As regulatory scrutiny continues, the crypto community remains watchful. The SEC’s upcoming decisions in June could set the tone for the broader acceptance of altcoin-backed ETFs in mainstream financial markets.

Author
Surabh Yadav