Categories: News

Solana ETF Possible with Change in POTUS, SEC: Analysts

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blyzniukova

Two industry experts suggest that a spot Solana exchange-traded fund (ETF) in the U.S. might only become a reality with a new administration and a change in the leadership of the Securities and Exchange Commission (SEC).

VanEck’s Unexpected Filing

On June 27, ETF issuer VanEck unexpectedly filed for a spot Solana ETF with the SEC. Matthew Sigel, VanEck’s head of digital assets research, stated that the new fund, named the VanEck Solana Trust, aims to leverage Solana’s decentralized nature, high utility, and cost-effectiveness.

Analysts’ Skepticism

Source: Eric Balchunas

Bloomberg ETF analyst Eric Balchunas expressed skepticism, stating his “knee jerk reaction” was that the SEC would not approve the ETFs due to the absence of Solana futures ETFs in the U.S. He noted that both Bitcoin and Ether had futures products before spot ETFs, as the SEC was concerned about potential fraud and market manipulation affecting spot ETF products.

Balchunas suggested that a change in the U.S. presidency and new leadership at the SEC in 2025 could alter this stance. Jake Chervinsky, chief legal officer at Variant Fund, agreed, indicating that Commissioner Hester Peirce’s interpretation of the Securities Exchange Act would likely favor spot Solana ETF applicants.

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SEC’s Current Stance

Under the leadership of Chair Gary Gensler, the SEC has labeled SOL a security in lawsuits against Binance and Coinbase, adding to the complexity of getting a Solana ETF approved.

Industry Reactions

Source: Adam Cochran

Adam Cochran, partner at venture capital firm Cinneamhain Ventures, argued that it would have been more prudent to resolve SOL’s alleged security status before VanEck filed for the ETF. Meanwhile, Bitcoin advocate Anthony Pompliano viewed VanEck’s filing as a sign that altcoins are gaining traction on Wall Street.

Market Predictions

Not everyone is optimistic. Evgeny Gaevoy, CEO of cryptocurrency trading firm Wintermute, predicted minimal inflows into the upcoming spot Ether ETFs, implying even lesser interest for a spot Solana ETF.

Broader Context

The filing comes shortly after 3iQ filed for a spot Solana ETF in Canada, marking a first in North America. Franklin Templeton, a $1.5 trillion asset manager, has also recently praised the Solana ecosystem. Globally, over $1 billion worth of Solana exchange-traded products are available, including the 21Shares Solana Staking ETP and the ETC Group Physical Solana product in Europe, as per Bloomberg ETF analyst James Seyffart.

Source: James Seyffart
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