SEC Pushes Crypto ETF Decisions Again, $100B Market Waits on Truth Social and Grayscale Rulings

Key Takeaways:

• SEC delays decisions on Truth Social’s Bitcoin ETF and Grayscale’s Solana ETF proposals.
• New deadlines: September 18 for Truth Social Bitcoin ETF and October 10 for Grayscale Solana ETF.
• The delays highlight growing political scrutiny and regulatory uncertainty surrounding crypto ETFs.

The U.S. Securities and Exchange Commission (SEC) has once again extended its review period for two highly anticipated cryptocurrency ETFs: one from Truth Social, seeking approval for a spot Bitcoin ETF, and another from Grayscale, aiming to launch a Solana-based ETF. These delays come amid rising momentum in the crypto ETF space, with products like BlackRock’s Bitcoin ETF nearing $100 billion in assets under management (AUM).

SEC Extends Timeline for Truth Social’s Bitcoin ETF Decision

Political Ties and Regulatory Sensitivities

On July 28, 2025, the SEC issued an official filing announcing it will delay its ruling on the Truth Social Bitcoin ETF until September 18, pushing the decision 45 days past the original deadline of August 4. The proposal, filed by NYSE Arca on June 3 in collaboration with Trump Media & Technology Group (TMTG), aims to list the fund under the agency’s commodity-based trust framework.

This is no ordinary ETF. If approved, it would be the first crypto exchange-traded fund directly tied to a sitting U.S. president’s business interests. The political implications are significant: Donald Trump is the majority stakeholder in TMTG, and while the fund itself hasn’t triggered formal objections from the SEC, Democrats have publicly raised concerns about potential conflicts of interest.

In May 2025, Senators Elizabeth Warren and Jeff Merkley sent a letter to the Office of Government Ethics questioning several Trump-linked crypto deals, including one involving World Liberty Financial, Binance, and a UAE firm. They described it as a “staggering conflict of interest” and urged tighter scrutiny over any crypto products with political affiliations.

Read More: Trump-Backed Truth Social Files to Launch Crypto ETF Holding $1B in BTC, ETH, and More

A Broader Push into Crypto by Trump Media

The Truth Social Bitcoin ETF is only one piece of TMTG’s digital asset strategy. The company has also filed for:

• A Truth Social Bitcoin and Ethereum ETF, splitting 75% BTC and 25% ETH.
• A Crypto Blue Chip ETF, featuring Bitcoin (70%), Ethereum (15%), Solana (8%), Cronos (5%), and XRP (2%).

While the ETF would not register as an investment company, it plans to issue shares in blocks of 10,000 through authorized participants, similar to other commodity-based trusts. Custody for the assets will be handled by Yorkville America Digital, a key partner in the filing.

Grayscale’s Solana ETF Decision Delayed Again, Now Due in October

SEC Wants More Time to Evaluate Risks

Also on July 28, the SEC postponed its decision on Grayscale’s Solana Trust ETF application until October 10, adding another 60 days to an already prolonged review. This marks the third official delay since Grayscale filed the amended proposal on February 4, 2025, with NYSE Arca. Under the standard SEC review process, the Commission has up to 240 days from the initial publication date to make a final decision.

Grayscale’s application seeks to list the Solana Trust under the same Commodity-Based Trust Shares framework. The SEC justified the extension by stating it needed “sufficient time to consider the proposed rule change and the issues raised therein.” These “issues” likely involve the fund’s treatment of staking mechanisms and in-kind redemptions, which remain under intense regulatory scrutiny.

Read More: SEC Pushes Back Decision on Grayscale’s Avalanche and Cardano ETFs

Solana ETFs in Regulatory Limbo

Grayscale is not alone. Several other asset managers including VanEck, Bitwise, 21Shares, and Canary Capital—have Solana ETF applications awaiting SEC review. Solana’s inclusion in ETF proposals has raised questions around proof-of-stake protocols, staking reward structures, and potential classification as a security, particularly after the SEC’s earlier lawsuits against Coinbase and Binance listed SOL as an unregistered security.

Still, Solana’s appeal in institutional finance is growing. In early 2025, the SEC approved the Rex-Osprey Solana Staking ETF under the Investment Company Act of 1940, offering indirect exposure to staking rewards. However, that approval does not guarantee the green light for commodity-trust-based Solana ETFs like Grayscale’s.

Growing ETF Market, Slower SEC

72 Crypto ETF Applications and Counting

According to data from Bloomberg ETF analyst Eric Balchunas, the SEC is currently reviewing 72 crypto ETF applications, a record number since the market’s inception. Most of these were filed after the SEC approved 12 spot Bitcoin ETFs in January 2024, finally breaking a decade-long resistance.

Since that landmark decision:

• BlackRock’s iShares Bitcoin Trust (IBIT) has approached $100 billion in AUM.
• Ethereum ETFs have received regulatory approval, though none have surpassed $10B AUM yet.
• New filings involving altcoins like Solana, Litecoin, and even meme tokens like Dogecoin are flooding in.

But despite growing demand, the SEC continues to move slowly, especially for funds involving assets that are not yet fully clarified under U.S. securities law. Commissioner Hester Peirce, known in the industry as “Crypto Mom,” acknowledged the delays in a Bloomberg interview in May:

“People have to be patient… We have ongoing litigation and overlapping responsibilities that slow us down.”

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