SEC Postpones Decision on DOGE, HBAR, AVAX Spot ETFs – Prices Drop Sharply

Highlights:

• SEC delays decisions on multiple crypto ETFs, extending the review period for key proposals.
• The market expects crypto ETF approvals soon as the Trump administration pushes for regulatory clarity.
• Hedera, Avalanche, and Dogecoin prices drop sharply following the ETF delay announcement.

The United States Securities and Exchange Commission (SEC) has once again postponed its decision on multiple spot cryptocurrency exchange-traded funds (ETFs) proposals. On June 12, the agency extended its review period for the Grayscale Hedera (HBAR) ETF, VanEck Avalanche (AVAX) ETF, and Bitwise Dogecoin (DOGE) ETF.

SEC delays approval of DOGE, HBAR, AVAX ETFs

The U.S. Securities and Exchange Commission (SEC) has delayed its approval of the @BitwiseInvest Dogecoin ( $DOGE ) exchange-traded fund (ETF), @Grayscale's Hedera Trust ( $HBAR ) and @vaneck_us Avalanche ( $AVAX) ETF, The Block…

— CoinNess Global (@CoinnessGL) June 12, 2025

According to official filings, the SEC has initiated formal proceedings to evaluate whether these proposed rule changes comply with regulatory requirements or warrant rejection.

In each of the filings, the agency wrote:

 “Institution of proceedings does not indicate that the Commission has reached any conclusions with respect to any of the issues involved. Rather, the Commission seeks and encourages interested persons to provide comments on the proposed rule change.” 

The SEC will accept public comments for the next 21 days to review the proposed rule changes. People who want to respond or disagree will have up to 35 days to send their replies. Market data from Polymarket shows strong odds that the U.S. SEC will approve multiple crypto ETFs before the year ends. In addition, the Donald Trump administration is actively working to set clear rules for crypto and support its wider use among institutional investors.

SEC Leadership Change Brings Hope for Altcoin ETFs

The delay came just two days after the SEC asked Solana ETF issuers to update their S-1 forms. This step usually shows that approval might be near. Earlier this week, Bloomberg senior analyst Eric Balchunas suggested that an altcoin ETF wave could arrive soon. He noted that Solana (SOL) is likely to be the first altcoin to receive spot ETF approval. Balchunas also pointed out that the SEC is now interacting with Solana ETF issuers much like it did with Ethereum ETF applicants last year.

Get ready for a potential Alt Coin ETF Summer with Solana likely leading the way (as well as some basket products) via @JSeyff note this morning which includes fresh odds for all the spot ETFs. pic.twitter.com/UMzih4oou7

— Eric Balchunas (@EricBalchunas) June 10, 2025

The SEC is currently reviewing many spot crypto ETF applications that are still waiting for a decision. Paul Atkins became the new chairman of the agency on April 22, following a three-month gap after Gary Gensler stepped down. Since stepping into the role, Atkins has pledged to take a more supportive and open approach toward digital assets.

Moreover, VanEck, 21Shares, and Canary are unhappy with the SEC for not following a “first-to-file” rule. They said this breaks fair rules for innovation and competition in markets. In a recent letter, they asked the SEC to bring back this rule, saying it hurts fairness and costs money when the SEC picks favorites.

ETF Delays Trigger Price Drops

Following the delay announcement, AVAX dropped 10.34% to $18.97, with a 33.34% rise in 24-hour trading volume, according to CoinMarketCap. HBAR also fell 8.71% to $0.1552, while its trading volume jumped 49%. Meanwhile, Dogecoin declined 9.30% over the past 24 hours, now trading at $0.17.