U.S. SEC Starts Public Comment Period on NYSE Arca's '85% Eligible Assets Rule': A New Milestone for Crypto ETF Listing Standardization

On April 27, 2026, the U.S. Securities and Exchange Commission (SEC) officially began the public comment process for NYSE Arca's proposed amendment to the structural requirements for crypto ETFs. The proposal mandates that 85% of commodity-based crypto trust assets consist of eligible assets that meet established listing standards. This signifies a shift toward a more standardized 'Generic' framework for crypto products, serving as a milestone that could simplify the complex procedures previously requiring individual regulatory approval for every new token fund launch.

In 2026, the middleman is back and bigger than ever. The true cost of the ETF model is not the fee, but the surrender of blockchain’s core innovation: the removal of the middleman. — Q2 2026 Institutional Digital Asset Report

Through this notice, the SEC requested public input on whether the proposal is consistent with the Securities Exchange Act. NYSE Arca initially submitted the relevant rule change on November 6, 2025, and this April 2026 announcement marks the stage of formalizing the discussion. Regulators will focus on reviewing whether the rule includes sufficient safeguards to prevent market manipulation and protect investors, and whether the exchange's self-regulatory functions can operate appropriately.

Technical Requirements of the 85% Eligible Asset Threshold

In the proposed rule, 'eligible assets' refer to assets that already meet the exchange's existing listing rules, and the 85% threshold is a key safeguard to ensure the overall liquidity and stability of the trust. According to NYSE Arca Rule 8.201-E, if the majority of trust assets consist of verified assets, more flexible asset management becomes possible within the remaining 15% range. This structure is interpreted as a strategic choice to embrace various assets in the crypto market while meeting the rigorous risk management standards required by institutional investors.

• Eligible Asset Threshold: 85% or more of total assets (Applying NYSE Arca Rule 8.201-E generic standards)
• Liquidity Benchmark: Average daily market value of $700 million or more over the last 12 months (in parallel with multi-crypto trust option requirements)
• Streamlining Listing Procedures: Pursuing immediate listing according to generic listing standards without individual 19b-4 filings

This change is the result of regulatory evolution following the SEC's approval in September 2025 for major exchanges to add generic listing standards. In the past, crypto ETFs had to undergo individual approval processes lasting several months to be listed, but once the new standards are established, products meeting the requirements can enter the market without separate individual approvals. This is expected to serve as a catalyst for expanding market interest, previously focused on Bitcoin and Ethereum, to multi-asset basket funds including various altcoins like XRP.

Notably, the SEC recently approved option trading for multi-crypto trusts and set a liquidity benchmark of $700 million per asset. As these liquidity standards combine with the 85% eligible asset rule, the crypto ETP market is being incorporated into a more predictable institutional framework. Industry experts predict that once the comment period ends and the rule is implemented, institutional capital inflows will become more systematic and large-scale.

Market Outlook for Altcoin and Multi-Asset Trusts

The 85% rule provides a practical path for including XRP or other promising tokens in portfolios, within a structure where major assets like Bitcoin or Ethereum support the core of the fund. If core assets account for 85% of the weight to guarantee the stability of the entire fund, combining various altcoins within the remaining weight becomes much easier from a regulatory standpoint. This can have the effect of increasing market diversity by providing investors with a wide range of investment options not limited to a single asset.

However, there are also voices of concern within the crypto ecosystem regarding this regulatory standardization. Critics point out that the growth of the institutional-led ETF market dilutes the original decentralization philosophy of crypto and expands the influence of large financial intermediaries once again. As of April 2026, the market appears to be finding an important balance between the mass adoption brought by regulatory efficiency and the fundamental value of crypto.

The SEC's final decision will be made after comprehensively considering the results of the comment period over the next few months and market stability. If this rule is finalized, the crypto ETF market is expected to be completely reorganized from an individual approval-centric model to a standard compliance-centric one starting from the second half of 2026. This will serve as an essential institutional foundation in the process of the U.S. capital market fully accepting crypto as an institutional asset.