The SEC has approved in-kind creation and redemption for cryptocurrency exchange-traded products, allowing investors to exchange shares directly for the underlying crypto assets. Bitcoin (BTC) and Ether (ETH) funds will be permitted to create and redeem shares on an in-kind basis. SEC Chairman Paul Atkins emphasized the importance of developing a regulatory framework for crypto asset markets. The new rules aim to make crypto ETPs less costly and more efficient, providing flexibility and cost savings to ETP issuers, authorized participants, and investors.

Read more at Cointelegraph: SEC Gives Green Light to In-Kind Transactions for Crypto ETPs