The American Commission for Securities and Exchange has probably interrupted the launch of the gray level digital fund (GDLC) For administrative reasons, not politicians, several people familiar with the case told Coindesk.
The SEC approved GDLC to set up as a negotiated grant fund (ETF) Tuesday through the delegated authority of staff members, which means that the regulator’s commissioners did not have to vote on the request. However, the regulator informed the gray scale and the New York Stock Exchange – the GDLC rating partner – Wednesday that the SEC commissioners will examine the approval, in pause in the GDLC Go -Live interval.
GDLC is based on the Coindesk 5 index of the Coindesk indices.
The launch stop gives dry time to develop registration standards for other ETFs that would launch under the same mechanism, individuals said.
There is also the fact that GDLC contains two digital assets – XRP
and Cardano – who do not currently have their own individual ETFs. Two of the other assets of the basket, Bitcoin and Ethereum, have their own ETF since 2024, and the SEC has even correctly correct of the funds containing these two active ingredients. Solana also saw its first ETF launch earlier this week, although applications for other FNB linked to the asset remain during the SEC examination.
The SEC faces deadlines later this year for XRP, ADA and Sol applications.
James Seyffart, analyst Bloomberg Intelligence ETF, told Coindesk that the dry break was “not normal”. In an article on X, he wrote that there were two potential reasons behind this decision.
“The dry does not want to let anything start as part of the 19B-4 process until they officially approve or offer a framework for digital assets in the ETF packaging.” The other option, he wrote, is that the dry wants to work on something compared to a specific aspect of the fund itself, for example the structure.
In a press release, a gray level spokesperson said that the dry break “was unexpected” but “reflects the dynamic and evolving nature of the regulatory landscape surrounding a first digital asset product like GDLC”.
“Grayscale remains determined to continue the GDLC list as ETP and we are working closely with the main stakeholders to meet all the necessary requirements. We will provide other updates as additional information will become available,” said the spokesperson.
An 8 k deposit in gray levels said that the firm “remains determined to continue the list of the fund on NYSE ARCA and continues to work closely with the main stakeholders to obtain the approval of the request”.
