SEC Delays Grayscale GDLC ETF Launch Amid Regulatory Review

The U.S. Securities and Exchange Commission (SEC) has paused the launch of Grayscale’s Digital Large Cap Fund (GDLC) ETF just one day after its initial approval. Although the ETF received a green light via delegated authority on Tuesday, the SEC informed Grayscale and NYSE on Wednesday that its commissioners will now review the decision, temporarily delaying the fund’s listing.

Sources familiar with the matter told CoinDesk that the delay is likely due to administrative reasons rather than political motivations. The SEC may be reassessing its framework for approving similar digital asset ETFs, especially those containing assets like XRP and Cardano (ADA), which do not yet have individual ETF approvals.

GDLC, which tracks CoinDesk Indices' CoinDesk 5 Index, includes Bitcoin (BTC), Ethereum (ETH), Solana (SOL), XRP, and Cardano. While BTC, ETH, and more recently SOL have seen ETF approvals, XRP and ADA remain under review, with decisions expected later this year.

Bloomberg ETF analyst James Seyffart noted on X that this move is “not normal,” suggesting the SEC may be holding off on approvals under the 19b-4 rule until it finalizes a broader framework for digital asset ETFs. Alternatively, the delay might relate to structural aspects of the fund itself.

Grayscale called the SEC’s move “unexpected” but said it reflects the evolving regulatory landscape. The firm remains committed to listing GDLC on NYSE Arca and is actively working with regulators to satisfy all requirements.

An 8-K filing confirmed Grayscale’s continued efforts to move forward with the listing. The SEC’s decision could have broader implications for future ETF products involving multiple digital assets.