The U.S. Securities and Exchange Commission (SEC) has once again extended the timeline for decisions on two high-profile cryptocurrency exchange-traded fund (ETF) proposals: the Truth Social Bitcoin ETF, which is linked to former President Donald Trump’s media and political brand, and Grayscale’s proposed Solana ETF conversion.
The regulator cited the need for more time to fully assess the rule changes and the broader implications of allowing these products to trade on U.S. exchanges.
According to the SEC’s latest filings, the deadline for ruling on the Truth Social Bitcoin ETF has been pushed back to September 18, 2025, while the decision on Grayscale’s Solana Trust conversion into an ETF is now expected by October 10, 2025.
The delays add to a growing list of crypto ETF applications still under review, reflecting the SEC’s cautious yet evolving approach to digital asset regulation under the new administration.
Two Delays, One Message: Crypto ETFs Still Face Regulatory Hurdles
The delayed decisions underscore the SEC’s methodical stance on the rapidly expanding crypto ETF market. While the agency has approved spot Bitcoin ETFs and appears more open to altcoin products than in previous years, it remains reluctant to fast-track politically sensitive or technically novel proposals.
In the case of the Truth Social Bitcoin ETF, the political overtones are unavoidable. The fund is backed by a consortium of Trump-affiliated financial entities and seeks to give investors exposure to Bitcoin through a product branded under Trump’s social media platform, Truth Social. The ETF application was initially filed in June 2025, just weeks after the re-emergence of Trump’s crypto agenda in the Republican platform.
The Grayscale Solana ETF, on the other hand, represents a technical conversion of an existing Solana Trust into a spot ETF - similar to the strategy Grayscale successfully employed for its Bitcoin Trust earlier this year. The Solana Trust has operated since 2021 and has seen renewed interest amid rising institutional demand for non-Ethereum Layer 1 assets.
Despite clear demand signals, the SEC said in both cases that “it finds it appropriate to designate a longer period within which to take action,” citing the complex regulatory questions and market impact considerations involved.
Regulatory Context: New Faces, Old Caution
Since January 2025, the SEC has undergone significant changes in leadership and policy posture. The appointment of Paul Atkins - a well-known crypto proponent - as Chair of the Commission under President Trump marked a symbolic shift from the agency’s historically adversarial stance toward digital assets. Several prominent skeptics of crypto, including Commissioners Caroline Crenshaw and Allison Herren Lee, have exited the agency.
This reshuffling, combined with the approval of several spot Bitcoin ETFs earlier this year, initially fueled hopes for a more rapid approval cycle for crypto-based funds. However, the Commission continues to operate within a legal framework shaped by the Securities Exchange Act of 1934, which allows it up to 180 days to act on proposed rule changes - a window that can be further extended under certain circumstances.
That legal flexibility has allowed the SEC to routinely delay decisions on crypto ETFs as it gathers feedback, analyzes market stability risks, and monitors evolving investor protections.
The Truth Social Bitcoin ETF: Politics Meets Finance
The Truth Social Bitcoin ETF, perhaps the most controversial of the pending crypto products, is more than just a financial instrument - it's a politically charged vehicle. The ETF would invest primarily in spot Bitcoin and Bitcoin futures contracts, similar to other funds approved earlier in 2025. However, its branding and proposed affiliations to Trump Media & Technology Group (TMTG) and the broader "Truth+" crypto ecosystem have made it a lightning rod in regulatory and media circles.
According to public documents, the ETF proposal includes language connecting the fund to “digital asset freedom” and “American financial sovereignty” - themes consistent with Trump’s pro-crypto rhetoric on the campaign trail.
Critics argue that this raises conflict-of-interest concerns, particularly given Trump's political influence and the potential for crypto regulation to become a campaign issue. Supporters, however, claim that the Truth Social ETF represents a new paradigm in political-financial engagement - where digital assets play a role in shaping political identities and public investment strategies.
Regardless of opinion, the ETF’s path to approval appears more politically complex than technically challenging.
Grayscale Solana ETF: A More Conventional Test Case
Unlike the Truth Social ETF, the Grayscale Solana ETF proposal is grounded in precedent. Grayscale already secured approval to convert its Bitcoin Trust into a spot ETF in early 2025, following a years-long legal battle with the SEC that ended in a landmark federal court ruling. Since then, the firm has expanded its ETF ambitions to include Ethereum and Solana.
Solana’s inclusion reflects growing institutional interest in Layer 1 networks beyond Ethereum. According to data from CoinShares, Solana-based ETPs saw inflows exceeding $300 million in July alone, making it the second most popular altcoin ETF candidate behind Ethereum.
Still, Solana poses unique challenges. Its high throughput and low fees have led to accusations of centralization, particularly due to a relatively small validator set. The SEC may be weighing whether Solana’s network structure and governance model present additional investor protection risks that need to be addressed.
Broader ETF Pipeline: More Delays Likely
The SEC’s latest delay adds to a crowded queue of crypto ETFs awaiting decisions. Pending proposals include:
- A Bitwise multi-asset fund tracking Bitcoin, Ethereum, Solana, XRP, and Cardano.
- An XRP ETF backed by Galaxy Digital and Hashdex.
- A Dogecoin ETF from VanEck.
- Proposed in-kind redemption models for existing funds, including Bitwise’s Bitcoin and Ethereum ETFs.
The Commission also delayed decisions on redemption models for spot ETFs earlier this month, a key technical feature that could significantly impact liquidity and price discovery.
Although some analysts believe the SEC will ultimately approve many of these proposals, the pace of approval may remain uneven - especially for politically sensitive or technologically novel products.
Market Reaction and Industry Response
The crypto market reacted cautiously to the delays, with both Bitcoin and Solana trading flat on Monday. TRUTH, the utility token linked to the Truth Social ecosystem, saw a mild dip of 2.3% amid speculation that regulatory holdups could affect the broader Truth+ financial initiative.
Industry leaders responded with frustration but not surprise. "Delays are part of the game," said Craig Salm, Chief Legal Officer at Grayscale. “We’ve seen this before with GBTC, and we’re confident in the long-term strength of our filing.”
Meanwhile, the Digital Chamber of Commerce renewed its call for a streamlined ETF review process, warning that "regulatory arbitrage" could push innovation and capital offshore if the U.S. continues to stall on crypto fund approvals.
Final thoughts
The SEC’s decision to delay both the Truth Social Bitcoin ETF and Grayscale Solana ETF highlights the delicate balancing act regulators face in overseeing a fast-evolving financial sector tied to both market innovation and political ideology.
While ETF applicants and investors await final rulings in September and October, the broader message from the Commission is clear: crypto ETFs may be here to stay, but approval will come only on the SEC’s terms - not the market’s.