The U.S. Securities and Exchange Commission (SEC) has delayed several decisions related to %Altcoin exchange-traded funds (ETFs).
Specifically, the Wall Street regulator has put off deciding on whether to approve (CRYPTO: $PENGU) and Cardano ETFs, extending their reviews until October.
Altcoins refer to %Cryptocurrencies other than %Bitcoin (CRYPTO: $BTC). They tend to be smaller, less valuable, and riskier digital assets.
In a statement, the SEC said it is delaying decisions on applications for a Canary Spot PENGU ETF and Grayscale’s Spot Cardano ETF until October of this year.
Canary’s proposed PENGU ETF relates to Pudgy Penguins non-fungible tokens (NFTs), also known as digital artwork.
“The Commission finds it appropriate to designate a longer period within which to take action,” the SEC said in a public notice.
PENGU’s price dropped 11% following the announcement of the ETF delay.
The SEC also postponed its decision on Grayscale’s Cardano ETF, intended to convert the company’s ADA Trust into a spot ETF, moving the decision date out to Oct. 26.
Cardano is one of the altcoins that investors think will eventually be approved for an ETF that tracks its spot price.
The delays by the SEC highlight the regulator’s cautious approach towards crypto ETF approvals involving altcoins or riskier assets.
The SEC delays also come as cryptocurrency prices fall, with Bitcoin currently trading below $110,000 U.S., its lowest level in nearly two months.
