Crypto Firms Push SEC for Faster ETP Review Process

Crypto firms are urging the US Securities and Exchange Commission (SEC) to speed up its review process for exchange-traded products (ETPs). Grayscale, a prominent crypto asset manager, is among those requesting an optional confidential draft registration process before public filings. This would reduce the incentive for competing sponsors to submit imitative or duplicative filings, according to Grayscale.

21Shares made a similar request, citing the speed at which competitors can copy public filings. The SEC had expressed concerns about novel ETF applications being submitted in rapid succession that are 'largely identical.'

A16z wants the SEC to shorten its review process, arguing that filings are now submitted electronically and disclosures are largely templated. However, it emphasized that a faster process should not mean 'a lighter review.'