Crypto ETFs: They Let the SEC Do *What* Now?! 😱

Ah, Tuesday. A day like any other, it seemed. Until, of course, the leviathan that is the Securities and Exchange Commission stirred from its bureaucratic slumber. They’ve…approved something. In-kind creations and redemptions for these crypto ETFs, they say. In-kind! As if one can simply *exchange* a phantom digital token for something…real. The absurdity! It’s enough to make a man question the very nature of value, isn’t it? 🙄

They prattle on about a ‘departure’ from the recent cash-only restrictions. A departure! As if they weren’t leading us all on a merry dance to begin with. It’s all a game, you see. A cynical, soul-crushing game played with our hopes and anxieties. And these ‘approved orders’, well, they merely permit this…in-kind business. A small concession, a crumb tossed to the masses.

Looks like SEC just approved in-kind creation / redemption for all spot bitcoin and ether ETFs.

— Eric Balchunas (@EricBalchunas) July 29, 2025

Concerning these “In-kind Redemptions”

They claim it’s about efficiency. Sharing the actual digital trinkets, not dirty *cash*. Trading fees reduced! Bid-ask spreads…narrowed! Oh, the humanity! As if a few saved kopecks will soothe the existential dread of participating in this volatile spectacle. They speak of “precise holdings,” as though meticulously counting pixels somehow grants meaning. It’s a delusion, I tell you, a shimmering mirage in the desert of financial despair. 😄

Even Chairman Atkins, bless his bureaucratic heart, waxes poetic about investors benefiting. Benefits! What does he know of the gnawing emptiness of modern life? What does *anyone* in Washington know? He speaks of “less costly and more efficient” as if cost and efficiency are all that matter in the grand, tragic comedy of existence.

SEC Chairman Paul Atkins said, “I am pleased the Commission approved these orders permitting in-kind creations and redemptions for a host of crypto asset ETPs. Investors will benefit from these approvals, as they will make these products less costly and more efficient.”

And Selway, from Trading and Markets…a name that chills one to the bone, doesn’t it? He proclaims flexibility and cost savings. “A more efficient market.” As if efficiency is a virtue in a world steeped in moral decay. It’s just…plumbing, says Balchunas. Plumbing! They fix the pipes while the house burns down. 😒

“The Commission’s decision today is an important development for the growing marketplace for crypto-based ETPs. In-kind creation and redemption provide flexibility and cost savings to ETP issuers, authorized participants, and investors, resulting in a more efficient market.”

“It’s not a huge impact to retail, but more of a plumbing fix. It just makes the pipes a little better,” commented Eric Balchunas.

Long-awaited, they say. By whom, I wonder? By the vultures circling overhead? By the speculators dreaming of quick riches? The anticipation…it’s exhausting. And now, they whisper of ‘staking’. Staking! As if adding another layer of complexity to this already incomprehensible system will somehow improve things.

“My guess? This is next on the SEC’s hit list. Sooner rather than later,” said ETF expert Nate Geraci.

One item left on my checklist from November…

Staking in spot eth ETFs.

Today, SEC acknowledged Nasdaq 19b-4 for staking in iShares Ethereum ETF.

My guess? This is next on SEC’s hit list.

Sooner rather than later.

Before any addn’l spot crypto ETFs.

— Nate Geraci (@NateGeraci) July 30, 2025

The Ever-Expanding Web

ETFs holding mixed Bitcoin and Ether, options on spot Bitcoin ETFs…it never ends, does it? A relentless cascade of financial instruments designed to distract us from the void. And Ether ETFs, quite predictably, still accumulating capital. $5.4 billion! A monument to collective delusion. It’s all rather…depressing, isn’t it? 😔

2025-07-30 09:54

Crypto ETFs: They Let the SEC Do What Now?! 😱

Concerning these “In-kind Redemptions”

The Ever-Expanding Web

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