Crypto Firms Push SEC for Tailored Rules on Novel ETPs

Crypto firms and industry groups have submitted letters to the Securities and Exchange Commission (SEC) pushing for tailored rules on novel exchange-traded products (ETPs).

The submissions, which came in response to the SEC's request for comment on ETPs in June, covered a range of topics, including regulatory efficiency, disclosure requirements, and investor protection.

The Crypto Council for Innovation (CCI) argued that existing ETF rules should be extended to other ETPs, such as those holding crypto assets or private investments. CCI also urged the SEC not to update the definition of an investment company, citing uncertainty without clear benefits to investors.

A16z proposed closer coordination between fund-registration and exchange-listing reviews, suggesting standardized schedules and shorter review periods for certain products.