The U.S. Securities and Exchange Commission (SEC) initially approved the conversion of the Bitwise 10 Crypto Index Fund into a spot exchange-traded fund (ETF) that would include ten cryptocurrencies: Bitcoin (BTC), Ethereum (ETH), Ripple (XRP), Solana (SOL), Cardano (ADA), Sui (SUI), Litecoin (LTC), Polkadot (DOT), Chainlink (LINK), and Avalanche (AVAX). This approval was seen as a significant development for U.S. investors seeking diversified exposure to major cryptocurrencies through an ETF structure. However, shortly after granting approval, the SEC invoked Rule 431 to place the conversion on discretionary review, effectively pausing the ETF conversion process. This marks the second time in July that the SEC has reversed approval for a multi-asset crypto ETF, following a similar halt on Grayscale's GDLC. The SEC's abrupt suspension of Bitwise's crypto ETF conversion has introduced uncertainty in the regulatory landscape for crypto-based ETFs despite growing institutional interest.