VanEck Files for Solana ETF in the US

VanEck, known for being among the first issuers of spot Bitcoin ETFs in the United States, has taken a significant step by filing for a new Solana ETF.

Key Points

– Announcement: On June 27, Matthew Sigel, VanEck’s head of digital assets research, announced on X that the firm has filed for a Solana ETF with the U.S. Securities and Exchange Commission (SEC).
– First of Its Kind: This new fund, named the VanEck Solana Trust, aims to leverage Solana’s decentralized nature, high utility, and economic feasibility. According to Sigel, this is the first filing for a Solana ETF in the United States.

VanEck’s Perspective

Sigel explained why VanEck considers Solana’s native token, SOL, a commodity. He noted that SOL functions similarly to other digital commodities like Bitcoin and Ether, being used for transaction fees and computational services on the Solana blockchain. SOL can also be traded on digital asset platforms or used in peer-to-peer transactions, akin to ether on the Ethereum network.

Listing and Objective

In its filing with the SEC, VanEck stated that the VanEck Solana Trust aims to be listed on the Cboe BZX Exchange, pending SEC approval. The fund’s investment objective is to mirror the performance of Solana’s price, minus operational expenses. The trust will value its shares daily using the MarketVector Solana Benchmark Rate index, which relies on prices from the top five SOL trading platforms as determined by the CCData Centralized Exchange Benchmark review report.

Context and Timing

VanEck’s move to file for a Solana ETF follows the SEC’s recent approval of spot Ether ETFs on May 23, 2024. This approval marked a pivotal decision, recognizing ETH as a commodity rather than a security. Consequently, the SEC ceased its investigation into whether Ether is a security on June 19.