US SEC Delays NYSE Arca Proposal to List This Crypto ETF

Key Insights:

• The US SEC delayed its decision on T. Rowe Price Active Crypto ETF.
• February 26 is the next SEC deadline to approve or disapprove the crypto ETF.
• Crypto market remains under pressure, with Bitcoin falling below $90K.

The U.S. Securities and Exchange Commission (SEC) has delayed its decision on T. Rowe Price Active Crypto ETF. It joins other crypto ETFs delayed by the commission.

$1.77 trillion in AUM asset manager T. Rowe Price plans to list and trade shares on NYSE Arca.

US SEC Delays Decision on T. Rowe Price Active Crypto ETF

NYSE Arca’s proposal to list and trade shares of the T. Rowe Price Active Crypto ETF was delayed by the US SEC, according to an order by the commission.

It is an actively managed fund seeking to outperform the FTSE Crypto US Listed Index. The fund plans to issue shares representing units of fractional undivided beneficial interests.

The FTSE Crypto US Listed Index tracks the performance of the top 10 U.S.-listed crypto assets by market cap.

The fund will invest in eligible cryptocurrencies, which include Bitcoin, ETH, Solana, XRP, Cardano, Avalanche, Litecoin, Polkadot, Dogecoin, HBAR, Bitcoin Cash, Chainlink, Lumen, and Shiba Inu.

Having long focused on mutual funds, T. Rowe Price’s venture into crypto ETFs came years after BlackRock and Fidelity’s crypto ETFs recorded massive demand.

SEC’s Next Deadline on T. Rowe Price Active Crypto ETF

NYSE Arca submitted a proposed rule change to seek approval under NYSE Arca Rule 8.201-E. The rule governs non-generic commodity-based trust shares.

The proposal was published in the Federal Register on November 28, making January 12 the date for decision. However, the SEC extended the review for another 45 days, making February 26 the next deadline to approve or disapprove the T. Rowe Price Active Crypto ETF.

Moreover, no public comments have been received on the proposed rule change as of this notice. The extension provides the SEC additional time to consider the potential impact of listing a crypto-based ETF managed by T. Rowe Price.

The US SEC has delayed multiple crypto ETF despite approval of ETFs tracking altcoins. It was also designed to have a longer period to approve the Canary PENGU ETF.

As Coin Republic reported earlier, the US SEC delayed its decision on Nasdaq’s proposal to amend position and exercise limits for BlackRock Bitcoin ETF (IBIT) options and FLEX trading.

“The commission finds that it is appropriate to designate a longer period within which to issue an order approving or disapproving the proposed rule change so that it has sufficient time to consider the proposed rule change,” as per the SEC statement.

Crypto Market Under Selling Pressure

The crypto market saw massive selling in the last 48 hours, losing the recent rebound in Bitcoin, Ethereum, XRP, and other top altcoins.

According to SoSoValue, U.S. spot Bitcoin ETFs recorded total net outflows of $486 million. Spot Ethereum ETFs saw net outflows of $98.45 million.

In other crypto ETF news, Spot XRP ETFs also recorded net outflows of $40.80 million. Meanwhile, spot Solana ETFs posted net inflows of $1.97 million.

BTC price fell below $90,000 to erase almost 5% gains in the last few days. The 24-hour low and high were $89,578.31 and $92,189.20, respectively.

Trading volume has decreased by 21% in the last 24 hours amid jitters due to macroeconomic data and upcoming crypto options expiry.