The U.S. Securities and Exchange Commission (SEC) has once again delayed its decision on two proposed crypto exchange-traded funds (ETFs) from Grayscale, one for Cardano (ADA) and the other for Avalanche (AVAX). The delay pushes the review deadline from May 29 to July 13, 2025, continuing a trend of cautious evaluation by the regulator.
Grayscale is seeking to convert its existing Cardano and Avalanche Trusts into spot ETFs. The applications were filed by NYSE Arca earlier this year under the exchange’s rules for commodity-based trust shares. After submitting amendments, the proposals were published for public comment on February 28, 2025.
According to the SEC ruling, the agency must decide within 45 days or extend its review to a maximum of 240 days. The final deadline for a ruling remains October 22, 2025.
The SEC says it needs more time to fully assess whether the ETF filings meet standards set under the Exchange Act, especially concerning investor protection and market manipulation.
Despite growing interest in crypto ETFs, the delays have frustrated investors hoping for quicker approval. Popular prediction platform, Polymarket, shows more than $367,000 has been wagered on whether a Cardano ETF will get the green light. Right now, 71% bet that it’ll happen before the year ends.
Looking at the market, ADA has dipped 5% to $0.7535, while AVAX remains relatively stable. Analysts say the price reaction has been muted, reflecting investor familiarity with the SEC’s slow pace.
This isn’t an isolated case, the SEC recently postponed decisions on spot ETFs for XRP and DOGE as well. While delays continue, hopes remain that both the Cardano and Avalanche ETFs could still receive approval later this year.
