The SEC has once again intervened to delay! Trump's Truth Social Bitcoin ETF and Grayscale Solana Spot ETF approvals are encountering obstacles.

The U.S. Securities and Exchange Commission (SEC) has announced an extension of the review period for the Truth Social Bitcoin Spot ETF and the Grayscale Solana Spot ETF applications. The approval for Truth Social has been extended to September 18, while the Grayscale SOL ETF has been postponed for the third time until a decision on October 10. This delay comes at a time when institutional investor interest in Crypto Assets Spot ETFs is surging, with the SEC currently having a backlog of up to 72 crypto-related ETF applications, with a final decision deadline set for the end of 2025.

SEC Suspends Approval of Truth Social Bitcoin Spot ETF According to official documents, the US SEC has decided to suspend its decision on the Bitcoin Spot ETF application submitted by Trump's social media platform Truth Social, extending the review period. The securities regulatory agency stated that the extension is to allow the committee sufficient time to assess the appropriateness of the application.

Documents show that the SEC has now extended its review period to September 18, when a final decision will be announced. The SEC memorandum indicates that it may choose to approve or deny the application, or initiate a review process to determine the next steps.

Back in June of this year, Truth Social submitted an S-1 form for its Bitcoin Spot ETF, opening the window for the SEC to make a decision within 45 days. The SEC stated in a statement: "The Commission believes it is necessary to designate a longer period to take action on the proposed rule change in order to have sufficient time to review the change and the issues raised by it."

Since the approval of the first batch of Spot Bitcoin ETFs in January 2024, the US SEC has opened the floodgates for institutional funds to flow in. Among them, BlackRock's IBIT has become the industry leader, with its Assets under Management (AuM) approaching the $100 billion mark by the end of July.

Grayscale Solana Spot ETF Faces Third Delay After the delay of the Truth Social Bitcoin ETF, the SEC has extended its "delay tactic" to Grayscale's application to convert its Solana trust into a Spot ETF. According to the latest documents released by the regulatory agency, following delays in March and May, the SEC has once again extended the review period for Grayscale's application by 60 days.

The statement pointed out that the SEC will make a final ruling on the Grayscale Solana Spot ETF application on October 10—either approval or rejection. Currently, several issuers, including VanEck, 21Shares, and Canary Capital, have submitted Spot Solana ETF applications to the SEC.

Previously, in response to the SEC's feedback on the physical subscription and redemption as well as staking mechanism, multiple issuers revised their Solana Spot ETF application documents in mid-June. Notably, as Rex Osprey's SOL Staking Yield ETF's assets under management surpassed $133 million, market expectations for the approval of Solana Spot ETF have significantly increased recently.

Encryption ETF application backlog, 2025 end becomes a key node Bloomberg analyst Eric Balchunas revealed on social media X that the SEC currently has up to 72 pending applications for approval of crypto-related Spot ETFs. These ETFs cover a variety of Crypto Assets including Bitcoin, Solana, Litecoin, XRP, Dogecoin, and Cardano. According to regulatory requirements, the SEC must make a final decision on these applications by the end of 2025 at the latest.

Conclusion: The SEC's delay in approving the Truth Social Bitcoin Spot ETF and Grayscale Solana Spot ETF highlights the regulator's ongoing cautious approach in the face of innovative financial products in Crypto Assets. Despite strong institutional demand and high market expectations, the approval path for Spot Crypto ETFs (especially for new assets beyond Bitcoin and Ethereum) remains fraught with regulatory uncertainty. As the final decision deadline (end of 2025) approaches and the number of backlog applications increases, the SEC's policy direction in the coming months will be a key variable influencing the institutionalization process of the Crypto market. Investors need to closely monitor the approval progress and its potential impact on the liquidity of SOL, BTC, and other Crypto Assets.