Background: The U.S. Securities and Exchange Commission (SEC) has decided to postpone the approval of VanEck's proposed Spot Avalanche (AVAX) Exchange-Traded Fund (ETF), extending the review period to July 15, 2025. This follows the delay of Grayscale's Spot Avalanche ETF and reflects the SEC's continued cautious stance toward cryptocurrency-related ETF approvals.

Key Event: VanEck submitted its Spot Avalanche ETF application in March 2025, aiming to provide investors with direct exposure to Avalanche (AVAX). The company has previously successfully registered ETFs for Bitcoin, Ethereum, and Solana. The SEC's postponement decision caused AVAX's price to drop by 5.97% to $21.12, highlighting market concerns over regulatory uncertainty.

Potential Impact: The SEC's cautious attitude toward cryptocurrency ETFs increases market uncertainty and dampens investor expectations for ETF approval. VanEck's collaboration with Nasdaq to promote the listing of the Spot Avalanche ETF demonstrates growing demand for digital asset investment vehicles. The SEC's focus on issues such as market manipulation, liquidity, and investor protection has led to approval delays. Although the market hopes for eventual approval, the timeline remains unclear, affecting investor sentiment.

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AVAX

HIGHLIGHTS SEC delays VanEck's Spot Avalanche ETF decision until July 15, 2025, adding to ongoing regulatory caution. AVAX price drops 5.97% after SEC postpones VanEck Spot Avalanche ETF approval. VanEck aims to expand crypto ETFs with Spot Avalanche ETF, following Bitcoin, Ethereum, and Solana. The U.S. Securities and Exchange Commission (SEC) has decided to delay its approval of VanEck’s proposed Spot Avalanche (AVAX) Exchange-Traded Fund (ETF). This postponement follows a similar delay with Grayscale’s spot Avalanche ETF.

SEC Delays VanEck Spot Avalanche ETF Decision
The U.S. Securities and Exchange Commission (SEC) has postponed its decision on whether to approve VanEck’s Spot Avalanche ETF.
This ETF delay, comes after a previous postponement regarding Grayscale’s proposed spot Avalanche ETF. The SEC has extended the review period, which now runs until at least July 15.
VanEck initially filed for the Spot Avalanche ETF in March 2025, aiming to offer investors a chance to directly invest in Avalanche (AVAX). The filing also included an S-1 registration statement, marking the fourth crypto-related ETF submission by the firm, following Bitcoin, Ethereum, and Solana ETFs.


AVAX Price Dips 5% Amid ETF Delay
Following the announcement of the delay, Avalanche (AVAX) saw a significant drop in its value. As of June 12, AVAX is trading at $21.12, marking a decrease of about 5.97% from the previous close. This downturn reflects broader market trends and investor hesitation in light of the SEC's indecision on crypto-related ETFs including Hedera ETF.
Cryptocurrencies, especially tokens such as AVAX, are typically vulnerable to market sentimentality and regulatory news.The SEC’s delay has led to increased uncertainty among investors, who were hoping that approval of such ETFs would bring more stability and legitimacy to the crypto space. The speculation around AVAX is partially connected to the expectations of investors regarding the approval of ETFs such as the VanEck product.
The postponement is part of a wider trend of regulatory conservatism by the SEC, which has stalled a number of ETF approvals linked to digital assets.

VanEck Push for AVAX ETF Approval
The development of a Spot Avalanche ETF by VanEck illustrates the increasing demand to provide regulated investment instruments to gain exposure to digital assets. The ETF filing by the company indicates an attempt to diversify its products based on crypto assets, after its earlier successful ETF registrations of Bitcoin, Ethereum, and its application for a Solana ETF.
VanEck has worked alongside Nasdaq, which filed an application with the SEC to list and trade shares of the Spot Avalanche ETF, further expanding its presence in the crypto space.
The SEC has consistently expressed concerns over market manipulation, liquidity, and investor protection when it comes to approving crypto ETFs. All these factors must have contributed to the hold-up because the SEC is still considering the risks and the benefits of allowing such funds. Although the market is hopeful that these ETFs will be ultimately listed by the SEC, the setbacks have left investors and crypto enthusiasts frustrated and uncertain about when they will finally be listed.

U.S. SEC Delays Approval of VanEck Spot Avalanche ETF, AVAX Price Declines