Exclusive: SEC Commissioner Peirce says new crypto ETP rules aim to cut ‘chaos’

Core Viewpoint - The SEC has introduced new generic listing standards for crypto exchange-traded products (ETPs) to eliminate uncertainty surrounding previous Bitcoin approvals, aiming to streamline the approval process for a wider range of crypto assets [1][2]. Group 1: New Listing Standards - The SEC's new framework allows for automatic listing of crypto ETPs if they meet specific criteria, such as being linked to regulated futures markets or existing surveillance-sharing agreements, replacing the previous case-by-case approach [3]. - The introduction of these standards follows the approval of Bitcoin and Ether ETPs, leading to a surge in applications for various crypto assets [2][3]. Group 2: Impact on Approval Process - The new standards are expected to accelerate the review process for many crypto products, although they are not the only path to approval [4]. - The SEC has also approved the first ETFs tied to XRP and Dogecoin, marking a significant step in the approval of altcoins beyond Bitcoin and Ether in the U.S. [3]. Group 3: Regulatory Perspective - The SEC aims to create predictability for both regulators and the industry while managing a wave of applications, emphasizing the importance of clear disclosures from registrants regarding product workings and potential risks [5]. - SEC Commissioner Hester Peirce highlighted the need for investors to carefully consider how these products fit into their portfolios and risk tolerance [5].