SEC Postpones Decision on Canary and Grayscale Spot Exchange-Traded Funds

Written by Ohris M. Greyoon, Blockchain & Crypto Expert

Source: Coinmarketcap

Updated: Aug 26 2025

SEC Delays ETF Decisions: The SEC has postponed its decisions on the Grayscale Spot Cardano ETF and Canary Spot Pudgy Penguins ETF applications until October 2025 due to regulatory concerns regarding market structure and custody.
Market Volatility: This delay has led to significant volatility in the altcoin markets, with the Pudgy Penguins token dropping by 12.65% within 24 hours and increased trading activity for Cardano.
Investor Uncertainty: Ongoing regulatory scrutiny has created uncertainty among investors, impacting their confidence in these altcoins and the potential for institutional pathways for altcoin ETFs.
Regulatory Focus: The SEC continues to emphasize the importance of surveillance-sharing agreements, custody solutions, and investor protection as critical factors for ETF approvals, reflecting a cautious approach towards altcoin regulations.

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Ohris M. Greyoon

Ohris M. Greyoon holds a Master’s in Computer Science from MIT and has 10 years of experience in blockchain technology and cryptocurrency markets. A pioneer in decentralized finance (DeFi) analysis, he leads Intellectia’s Crypto News, offering cutting-edge insights into digital assets.