SEC acknowledges spot Solana ETF filings from 21Shares, Bitwise, Canary and VanEck

Several Solana-based exchanged-traded product filings were acknowledged Tuesday by the U.S. Securities and Exchange Commission, signaling progress on new altcoin-based financial instruments coming to market. Cboe BZX Exchange filed proposed rule change forms to list and trade shares of spot Solana ETFs from would-be issuers 21Shares, Bitwise, Canary Capital and VanEck. The process, so far, is mirroring what transpired when issuers were seeking to launch spot bitcoin ETFs.Tuesday's filings follows Cboe BZX Exchange filing forms last month for the firms wishing to issue spot Solana ETFs. Previously, the firms' applications to issue Solana ETFs had been rejected. But now with a pro-crypto U.S. government seemingly in charge since President Donald Trump took office, momentum appears to be gathering around potential altcoin ETFs. Many expect ETFs tracking XRP, Litecoin, Dogecoin and Solana will all secure approval. On Monday, Bloomberg ETF analysts James Seyffart and Eric Balchunas said they rate the likelihood of Solana ETFs being approved by the U.S. Securities and Exchange Commission at 70%.Franklin Templeton also appears to be poised to join the Solana ETF fray after the firm on Tuesday filed documents in Delaware to register the Franklin Solana Trust.Last week, the SEC began soliciting public comments on a proposal to list and trade the Grayscale Solana Trust, which is expected to be converted into an ETF. Grayscale used the same approach last year before it converted its popular bitcoin trust into an ETF.One hurdle that could emerge for the SOL-based ETFs is over the debate of whether to classify the cryptocurrency as a commodity or security. Although all signs suggest the regulator, under new leadership, will be more amenable than in the past, the SEC could view Solana differently than it did Bitcoin and Ethereum.Disclaimer: The Block is an independent media outlet that delivers news, research, and data. As of November 2023, Foresight Ventures is a majority investor of The Block. Foresight Ventures invests in other companies in the crypto space. Crypto exchange Bitget is an anchor LP for Foresight Ventures. The Block continues to operate independently to deliver objective, impactful, and timely information about the crypto industry. Here are our current financial disclosures.© 2024 The Block. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.