SEC Set to Approve HBAR ETF: Hedera's Gregg Bell Sees ‘New Chapter’ for Regulated Crypto Access

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The U.S. Securities and Exchange Commission (SEC) is on the verge of approving the first Hedera and Litecoin exchange-traded funds (ETFs). This significant development, anticipated to launch on October 28, signals a growing acceptance of blockchain networks with practical applications. According to industry leaders, this approval could enhance regulated access to digital assets for both institutional and retail investors.

Key Takeaways

SEC Approval Expected: The SEC is likely to approve the first HBAR ETF, which will take effect on October 28.
Significance for Investors: This marks a pivotal moment, providing regulated access to HBAR — a network supporting real-world use cases.
Institutional Impact: ETF approvals represent a broader trend in regulated digital asset products, promoting institutional investment in crypto.
Market Reactions: Following the news, the price of HBAR surged 17% in anticipation of the ETF approval, reflecting increased investor confidence.

A Milestone for Regulated Digital Asset Access

Gregg Bell, Chief Business Officer at the Hedera Foundation, highlights the significance of this approval as a turning point for both investors and the wider ecosystem. “With Hedera’s ETF filing approved, a new chapter opens for our ecosystem and the industry at large,” commented Bell.

He noted that this approval offers investors regulated access to HBAR, facilitating its use in real-world applications — from tokenized assets to sustainability markets. Backed by the Hedera Governing Council, which includes major corporations like Google, IBM, Standard Bank, and Boeing, this milestone underscores Hedera's vital role in shaping the future of global finance and fostering adoption among institutional and retail investors.

The HBAR ETF offers a regulatory pathway for institutional investors to engage with a network that already supports enterprise-grade tokenization, carbon credit tracking, and digital identity solutions.

Industry Reaction: A Broader Shift in Institutional Access

The anticipation of ETF approvals aligns with a larger trend of regulated digital asset products entering traditional finance. Thomas Uhm, Chief Commercial Officer at the Jito Foundation, expressed optimism, stating that this move signifies a critical moment for institutional access to cryptocurrency.

“We’ve been on the brink of this moment, and I’m thrilled that we have finally arrived. The approval of staked Solana ETFs marks a crucial shift for institutional engagement in crypto,” said Uhm, emphasizing the extensive groundwork laid by JitoSOL to address compliance and enhance institutional liquidity.

The Beginning of a New Market Phase

With crypto ETFs for Solana, Litecoin, and Hedera set to roll out, analysts expect a notable increase in institutional participation within the digital asset sphere. These developments broaden the landscape of regulated crypto options beyond just Bitcoin and Ethereum, providing varied avenues for investors interested in compliance-friendly blockchain exposure.

Bell encapsulates this shift by stating, “The approval of the HBAR ETF is more than just validation — it’s the dawn of a new era for on-chain finance.”

HBAR Surges 17% as SEC ETF Approval Nears

In light of the impending ETF approval, Hedera's price (HBAR) increased by 17.4%, reaching $0.2096 as traders react to this optimistic news.

Hedera Price Surge

Hedera’s market cap grew to $8.9 billion, marking a 17.4% increase, while its 24-hour trading volume shot up by 425% to nearly $1 billion, one of the largest daily spikes recorded. The fully diluted valuation (FDV) is now above $10.4 billion, reflecting renewed enthusiasm from investors regarding Hedera’s role in enterprise and institutional blockchain solutions.

The approval of an HBAR ETF would grant institutional investors, who historically faced compliance challenges, direct and regulated access to this asset. Market participants anticipate that new capital inflows will occur as asset managers and ETFs begin to accumulate HBAR to support their funds.