SUI price rebounded from a nearly two-week downtrend as crypto asset manager Bitwise filed to launch an exchange-traded fund tracking the Sui token.
Summary
- Bitwise had filed a Form S-1 with the SEC to launch a spot ETF tracking the SUI token.
- SUI rebounded over 4.5% from monthly lows following the announcement.
Bitwise submitted its Form S-1 to the U.S. Securities and Exchange Commission on Thursday for the “Bitwise Sui ETF,” a product designed to track the spot market price of the SUI token, which serves as the native asset of the layer 1 Sui blockchain network.
An S-1 filing with the SEC is the first formal step that initiates the ETF approval process. Following the submission, the Commission is expected to issue comments, typically within 30 days, based on its initial review.
Subsequently, if the Commission provides any feedback or revision requests, Bitwise would be required to submit one or more amended filings until the SEC deems the application effective, after which the ETF could begin trading on a registered exchange.
The entire review process is expected to take as little as 75 days under the new Generic Listing Standards framework approved back in September. This change was introduced as part of the SEC’s pro-crypto policy pivot under Chairman Paul Atkins, who kicked off the “Project Crypto” initiative earlier this year.
Under the previous framework, the ETF approval process could take up to 240 days or longer due to the need for individual 19b-4 approvals, a requirement that no longer applies for products meeting the generic standards.
The current regulatory environment has prompted a number of spot altcoin ETFs to flood the market alongside existing products for Bitcoin and Ethereum. While a spot SUI ETF has yet to be cleared, at least three other issuers – Canary Capital, 21Shares, and Grayscale – have filed to list one.
A final decision on 21Shares’ application is due by Dec. 21, which could make it the first spot ETF product in the United States directly tracking the SUI token.
However, the SEC has already greenlit a leveraged SUI ETF earlier this month, approving the 21Shares 2x Long SUI ETF that launched on Nasdaq in early December. That product offers double the daily performance of SUI but does not hold the underlying token directly.
Meanwhile, Bitwise recently added SUI to its 10 Crypto Index ETF that is currently trading on the New York Stock Exchange.
SUI price, which had been in a downtrend since the start of December, rebounded from monthly lows around $1.33 on late Thursday as news of the filing went live. At press time, it was up over 4.5% from that level.
