CBOE Seeks SEC Approval for Unified Crypto ETF Framework

According to Cointelegraph, the Chicago Board Options Exchange (CBOE) has submitted a request to the U.S. Securities and Exchange Commission (SEC) for a rule change that could significantly impact the approval process for crypto exchange-traded funds (ETFs). This proposal aims to establish a unified framework for listing crypto funds, potentially eliminating the need for individual approvals for each new fund. ETF analyst Nate Geraci highlighted the significance of this filing, noting that if approved, issuers would no longer need to seek specific approval for each crypto ETF, provided they meet certain criteria. A similar filing has also been submitted by NYSE Arca, indicating a broader industry push towards streamlining regulatory processes. The current regulatory framework requires exchanges to file a 19b-4 form for each new crypto ETF, which initiates a lengthy and often complex review process by the SEC. This filing comes shortly after the SEC approved in-kind creations and redemptions for crypto ETFs, aligning them more closely with traditional fund structures. These developments mark a significant step towards integrating cryptocurrency into traditional financial frameworks. On the same day, the White House advanced new proposals to align cryptocurrency regulations with those of traditional finance, signaling a coordinated effort to modernize the regulatory landscape. U.S. President Donald Trump’s Working Group on Digital Assets has released a comprehensive 168-page policy document advocating for clearer trading guidelines and relaxed restrictions on blockchain innovation. These recommendations aim to accelerate the availability of new crypto products for consumers. Key suggestions include urging the SEC and Commodity Futures Trading Commission (CFTC) to clarify federal rules on crypto custody, trading, and registration. The report also calls for the elimination of bureaucratic delays that hinder the rollout of innovative financial products. Earlier this month, President Trump signed the GENIUS Act into law, establishing a broader regulatory framework for stablecoins. Additionally, the House of Representatives passed the CLARITY Act and the CBDC Anti-Surveillance State Act, focusing on crypto market structure and imposing restrictions on central bank digital currencies. Both bills are set to be reviewed by the Senate following the August recess.