Bearish
Government Shutdown Impact on Crypto: ETF Delays and Regulatory Uncertainty
04.10.2025 19:48
The U.S. government shutdown has created significant uncertainty for cryptocurrency markets and regulatory developments. Federal agencies including the SEC have suspended operations, delaying critical decisions on spot crypto ETFs for assets like Solana (SOL) and Litecoin (LTC). Market structure legislation timelines face potential setbacks as lawmakers cannot consult with furloughed regulatory experts. While short-term shutdowns may cause minimal disruption, prolonged closures could substantially delay crypto policy advancements and ETF approvals. Industry experts note that bipartisan cooperation on crypto legislation remains possible, but extended shutdowns increase political tensions that could hinder progress.