They can graduate but they may not serve

Lava 4: Tube

There is currently a transgender cadet at each of the Air Force Academy and at West Point, who are set to graduate if they pass their final exams.

Unlike the vast number of other cadets graduating, these two will not be commissioned as officers because the Pentagon has not yet established a policy for accepting new transgender troops.'

Last year, then-Defense Secretary Ash Carter rescinded the Pentagon’s ban on transgender troops. The policy immediately allowed transgender troops to serve openly. However, the policy for accepting new troops is scheduled be developed and phased in this year.

We all know that a snowball has a better chance in Hell with the current administration.

The names of the cadets and their new genders were not released by the military.

Currently, there is an Air Force Academy cadet who has identified as a transgender individual. The cadet can graduate. But, per the current (Defense Department) transgender policy, this cadet cannot commission into the Air Force. However, we are strongly recommending this individual for Air Force civil service as an option for continued service after the academy.

--Lt. Col. Allen Heritage, Air Force Academy

We can confirm that a military academy cadet has identified as transgender, however, per the current Department of Defense medical accessions policy, this cadet cannot commission.

--Cynthia Smith, Army spokeswoman

There's also this horrible slam at the Army's cadet:

West Point will not recognize the cadet's preferred gender at graduation, but instead the candidate's biological sex.