Flood of new crypto ETPs expected in 2026, says Bitwise

• The SEC's new rules could lead to a surge in crypto ETP launches in 2026, according to Bitwise.
• Bloomberg's James Seyffart warns that many new crypto ETPs might fail within 18 months due to market saturation.
• The regulatory changes eliminate the lengthy 19(b) rule filing process, streamlining the listing of crypto ETPs.

Due to clearer U.S. Securities and Exchange Commission (SEC) rules, 2026 could be the year of the crypto “ETF palooza”, said digital assets manager Bitwise. But while the firm forecasts an increasing number of crypto ETP launches next year, Bloomberg's James Seyffart warns many of the weaker ones could fail within 18 months.

The Bitwise forecast follows a regulatory shift in September, when the SEC approved rules allowing exchanges to list ETPs holding spot commodities, including cryptocurrencies, without requiring individual SEC reviews. The change eliminates the need for the time-consuming 19(b) rule filing process, which can take up to 240 days.

“A clearer regulatory roadmap in 2026 is why we see the stage being set for ‘ETF-palooza,” said Bitwise on X, tagging Seyffart. He swiftly responded, warning that the fast-growing market is likely headed toward a wave of closures.

“I'm in 100% agreement,” Seyffart said. ”I also think we're going to see a lot of liquidations in crypto ETP products. Might happen at the tail end of 2026 but likely by the end of 2027. Issuers are throwing A LOT of product at the wall — there's at least 126 filings.”

Seyffart said that while some consolidation may begin as early as late 2026, the bulk of liquidations is most likely to occur throughout 2017 as competition intensifies and weaker products fail to attract investor flows.

• As of October 2025, GoPlus has generated $4.7M in total revenue across its product lines. The GoPlus App is the primary revenue driver, contributing $2.5M (approx. 53%), followed by the SafeToken Protocol at $1.7M.
• GoPlus Intelligence's Token Security API averaged 717 million monthly calls year-to-date in 2025 , with a peak of nearly 1 billion calls in February 2025. Total blockchain-level requests, including transaction simulations, averaged an additional 350 million per month.
• Since its January 2025 launch , the $GPS token has registered over $5B in total spot volume and $10B in derivatives volume in 2025. Monthly spot volume peaked in March 2025 at over $1.1B , while derivatives volume peaked the same month at over $4B.

• Bitcoin is teetering on the brink of falling below $85,000 level, accelerating declines in the crypto market.
• Altcoins such as SOL, Cardano, ADA, SUI and dogecoin led Thursday's drop.
• $550M in liquidations hit derivatives markets, but analysts said the pullback looks like orderly deleveraging rather than full-blown panic.

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