As the cryptocurrency market continues to evolve, the race for the first-of-its-kind Solana exchange-traded fund (ETF) is heating up. Cboe BZX, a leading exchange, has taken a significant step forward by filing the necessary forms with the U.S. Securities and Exchange Commission (SEC) for the launch of Solana ETFs by 21Shares and VanEck.
Cboe BZX’s Filings for Solana ETFs
On Monday, Cboe BZX filed Form 19b-4s for the 21Shares Core Solana ETF and the VanEck Solana Trust. This form is an application that the exchange submits to the SEC, informing the agency of the proposed rule change required for the approval of these crypto ETFs.
In their filings, Cboe BZX drew parallels between the proposed Solana ETFs and the already-approved spot Ethereum and Bitcoin ETFs. The exchange argued that, similar to these other cryptocurrencies, Solana (SOL) is resistant to price manipulation, and “other means to prevent fraudulent and manipulative acts and practices” exist to justify the SEC’s approval.
VanEck and 21Shares’ Solana ETF Filings
VanEck and 21Shares, two prominent players in the crypto ETF space, have also made their own moves towards launching Solana ETFs. VanEck filed a registration statement for its Solana ETF in late June, while 21Shares quickly followed suit with its own Solana ETF filing.
“Much like bitcoin and ETH, the Exchange believes that SOL is resistant to price manipulation and that ‘other means to prevent fraudulent and manipulative acts and practices’ exist to justify dispensing with the requisite surveillance sharing agreement,” the exchange said in both filings.
Cboe files 19b-4s for both VanEck & 21Shares Solana ETFs…
Once SEC acknowledges these filings, the decision clock starts ticking. https://t.co/JsRBLjudyT pic.twitter.com/94RLLEiwbU
— Nate Geraci (@NateGeraci) July 8, 2024
The Road Ahead for Solana ETFs
While the prospect of Solana ETFs is exciting, industry experts caution that these products may not be an instant success. The SEC has previously stated that it views Solana as a security, which could pose challenges in the approval process.
The next steps involve the SEC acknowledging the 19b-4 filings, after which the decision clock will start ticking. Nate Geraci, the president of The ETF Store, noted that this acknowledgment from the SEC is a crucial milestone in the journey towards the approval of these Solana ETFs.
As the regulatory landscape continues to evolve, cryptocurrency enthusiasts and investors eagerly await the outcome of these filings, hoping to see the first-ever Solana ETFs come to fruition.
