‘ETF-palooza’ could hit crypto in 2026, but liquidations may follow

Digital assets manager Bitwise forecasts that 2026 will usher in a crypto “ETF-palooza,” driven by streamlined U.S. Securities and Exchange Commission (SEC) rules that simplify the listing process for ETPs holding spot commodities like cryptocurrencies. This regulatory shift, which occurred in September, eliminated the need for time-consuming individual SEC reviews via the 19(b) rule filing process. However, Bloomberg’s James Seyffart agrees with the influx prediction but warns of a subsequent wave of failures. Seyffart noted that issuers have submitted at least 126 filings and expects many weaker crypto ETP products to face liquidation, potentially starting in late 2026 but more likely throughout 2027, as competition intensifies and products fail to attract sufficient investor flows.

(Source：CoinDesk)