I think this is great, I am glad that the SEC will not approve the ETF. The approval of ETFs can significantly affect the entire Crypto market when governments enact more rules. The crypto market does not need any support from any government organizations because I believe it does not require anyone to help.
I may say you are wrong, without the government support there is no way that crypto will grow and survive. Think about what will happen to crypto when China banned crypto, we are absolutely down but we still recover cause many countries keep supporting crypto.
Its legalization will simply say that the government have trusted this thing and they absolutely saw good contribution to the community.