On 20 May 2026, Paul S. Atkins, Chairman of the U.S. Securities and Exchange Commission, issued a public statement addressing the regulatory treatment of novel exchange-traded funds (ETFs), including event contract ETFs.
“Exchange-traded funds have been — and remain — a major driver of innovation in the securities markets. ETFs have contributed to increased capital formation and investor choice, reflected in part by the tripling of ETF assets since 2019.
Novel products raise novel questions, and I appreciate the willingness fund sponsors have shown in delaying the effectiveness of a number of novel ETFs, including event contract ETFs, while we consider the implications. To ensure we do this in a transparent and thoughtful manner, I have instructed the staff to seek input from the public on how the Commission should respond to recent market changes.”
This statement issues direction to its staff to seek public input regarding how the Commission should respond to recent market developments and the regulatory considerations surrounding innovative ETF structures.
Crypto asset managers, ETF sponsors, exchanges, and structured product issuers may therefore consider closely monitoring forthcoming SEC consultations and public comment processes, particularly where proposed products involve derivatives exposure, token-linked strategies, event-based settlement mechanics, or hybrid financial instruments.
(Source: https://www.sec.gov/newsroom/speeches-statements/atkins-statement-novel-exchange-traded-funds-052026)
