The anticipation surrounding the approval of Solana ETFs is reaching new heights as at least seven asset managers have filed amended registration statements with the U.S. Securities and Exchange Commission. Companies like Bitwise, Canary Capital, Fidelity, CoinShares, Grayscale, Franklin Templeton, and VanEck are all vying for approval to launch spot Solana ETFs, which would offer direct exposure to SOL, the native token of the Solana blockchain.
Amending the S-1 registration statements is a crucial step in the process, as it reflects feedback from the SEC and internal adjustments by the issuers. These filings provide detailed information on the fund’s structure, objectives, fees, custodianship, and risk factors. While the recent amendments were not substantial in content, they indicate that both issuers and regulators are working towards consensus on key language and structural details.
The SEC reviews the filings and provides comments, to which issuers must respond and potentially submit further updates. The approval process involves both the S-1 and a separate 19b-4 filing for a rule change to list the ETF on a national exchange. Some issuers have already filed their 19b-4s, while others are expected to do so shortly.
Reports suggest that the SEC has raised concerns about in-kind redemptions and staking in the proposed Solana ETFs. The commission approved in-kind creation and redemption for spot Bitcoin and Ethereum ETFs last month, signaling a potential approval for Solana ETFs as well. If approved, Solana ETFs may adopt in-kind redemption structures from the outset.
With the SEC typically responding to amended filings within two to four weeks, a final decision on the first Solana ETF approvals could arrive by late August or September. Betters on Polymarket are already showing confidence in the approval, with expectations that Solana ETFs will be approved by the end of 2025.
In conclusion, the approval of Solana ETFs is eagerly awaited by both investors and the crypto community. The potential approval of these ETFs could open up new avenues for investment in the Solana ecosystem and further boost the adoption of this innovative blockchain platform. Stay tuned for updates as the approval process unfolds.