US SEC seeks comment on ETFs for prediction markets, other on-chain products

The U.S. Securities and Exchange Commission (SEC) announced it is seeking public comment on new exchange-traded funds (ETFs) focused on cryptocurrency and on-chain innovative products, including prediction markets. The agency noted it is continuously monitoring market interest in a range of innovative products, such as crypto-related funds, investment opportunities based on blockchain technology, and new financial derivatives like event contracts. According to Bloomberg ETF analyst Eric Balchunas, the move is part of an effort to establish criteria for what can be recognized as an ETF, standardize the approval process, and limit indiscriminate approval attempts by issuers.