Franklin

United

The United States Securities and Exchange Commission (SEC) has delayed a decision on whether to approve a Franklin Templeton Crypto Index ETF until early 2025.
In a Nov. 20 letter, the regulatory agency said it had received no comments after publishing a proposed rule change on Oct. 8 regarding listing the crypto index ETF. SEC officials wrote:
<blockquote>
 "The Commission finds it appropriate to designate a longer period within which to take action on the proposed rule change so that it has sufficient time to consider the proposed rule change and the issues raised therein.”
</blockquote>
The SEC continued, “Accordingly, the Commission, pursuant to Section 19(b)(2) of the Act, designates January 6, 2025, as the date by which the Commission shall either approve or disapprove or institute proceedings to determine whether to disapprove, the proposed rule change.”
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 <img alt="SEC, ETF" src="https://s3.cointelegraph.com/uploads/2024-11/01934b98-00fb-7ce5-8475-6e6d99249272" title="">
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 The SEC letter asking for more deliberation time. Source: SEC
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Related: <a data-ct-non-breakable="null" href="https://cointelegraph.com/news/us-regulators-mull-approving-grayscale-crypto-index-etf" rel="null" target="null" text="null" title="null">US regulators mull approving Grayscale crypto index ETF</a>
<h2 id="industry-waits-for-long-anticipated-crypto-index-etfs">Industry waits for long-anticipated crypto index ETFs</h2>
In August, Franklin Templeton applied to the SEC <a data-ct-non-breakable="null" href="https://cointelegraph.com/news/franklin-templeton-files-s-1-new-crypto-index-etf" rel="null" target="null" text="null" title="null">for a crypto index ETF</a>. At the time, head of research at the Sygnum crypto bank Katalin Tischhauser told Cointelegraph that crypto index ETFs were “the next logical step” for digital asset markets.
Tischhauser said that indexes allow investors to participate in the upside of the markets without having to pick individual winners and make extensive, time-consuming, and often costly mistakes. This efficiency is what has driven the meteoric popularity of stock indexes such as the S&amp;P 500, the researcher said.
As such, Franklin Templeton is far from the only firm looking to launch a crypto index ETF in the United States. In October, the New York Stock Exchange expressed interest in <a data-ct-non-breakable="null" href="https://cointelegraph.com/news/nyse-seeks-grayscale-crypto-index-etf" rel="null" target="null" text="null" title="null">listing a Grayscale crypto index ETF</a> and sought permission from US regulators to list the financial vehicle for trading.
In November, US regulators indicated they were <a data-ct-non-breakable="null" href="https://cointelegraph.com/news/us-regulators-mull-approving-grayscale-crypto-index-etf" rel="null" target="null" text="null" title="null">considering listing the Grayscale index ETF</a>.&nbsp;
Approval of the Grayscale crypto index ETF would mark the first of its kind in the United States and would unlock new capital flows into the digital asset markets — similar to the inflows from Bitcoin (<a data-ct-non-breakable="null" href="https://cointelegraph.com/bitcoin-price" rel="null" target="null" text="null" title="null">BTC</a>) and Ether (<a data-ct-non-breakable="null" href="https://cointelegraph.com/ethereum-price" rel="null" target="null" text="null" title="null">ETH</a>) ETFs approved earlier in 2024.
Magazine: <a data-ct-non-breakable="null" href="https://cointelegraph.com/magazine/bitcoin-etf-coinbase-honeypot-hackers-government-trezor-ceo/" rel="null" target="null" text="null" title="null">Bitcoin ETFs make Coinbase a ‘honeypot’ for hackers and governments: Trezor CEO</a>

SEC delays Franklin Templeton crypto index ETF decision

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Cointelegraph

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