SEC Loosens Crypto ETF Rules, Giving Asset Managers More Flexibility

The SEC has approved changes to Nasdaq Texas Rule 5711(d), explicitly listing Bitcoin, Ether, Solana, and XRP as digital assets that satisfy commodity-based trust standards.

This decision concerns exchange-listing standards and does not declare the four assets commodities. However, it does give asset managers more flexibility when constructing diversified crypto investment products.

The new framework allows at least 85% of a qualifying trust's portfolio to be invested in assets that satisfy established generic listing requirements, with the remaining 15% allocated to other digital commodities or certain securities that do not independently meet those standards.

Goldman Sachs has emerged as the largest disclosed XRP ETF holder with about $87.4 million, ahead of Jane Street and Millennium Management. Institutional demand for XRP has remained strong despite a recent price drop.