Solana in the starting blocks. The approval of a spot ETF could arrive in the next five weeks. A much shorter timeline than anticipated… and a new bombshell for the crypto market.
The SEC urges Solana ETF issuers
According to several sources close to the matter, the SEC has asked Solana ETF applicants to update their S-1 forms in the coming days. Translation: the agency is ready to engage in serious discussions.
Among the points to address: the in-kind redemption mechanism (in crypto, not cash) and, most importantly… staking. Two sources indicate that the SEC would not be opposed to integrating staking directly into ETFs, a major turning point for the industry.
If everything aligns, a first approval could come in July. This is also what James Seyffart, an analyst at Bloomberg Intelligence, predicts: “Some Solana ETFs or staking products could be approved well before October.”
Heavyweights in the race
Fidelity, VanEck, Franklin Templeton, Bitwise, Grayscale… With the exception of BlackRock, all the heavyweights are at the starting line. Even 21Shares and Canary Capital want a piece of the pie.
Grayscale, true to its strategy, aims to convert its Solana Trust into a spot ETF, just like for Bitcoin and Ethereum.
And as with BTC and ETH, the launch of SOL futures contracts on the CME in February could be the missing piece of the puzzle. This step was crucial in validating spot Bitcoin ETFs.
Towards a wave of crypto ETFs
The stakes go beyond Solana. The momentum could pave the way for other spot ETFs, especially for XRP, already covered by derivative products. Seyffart doesn’t mince words: “I would be absolutely stunned if the SEC blocked a spot ETF for Solana or XRP.”
In April, his colleague Eric Balchunas had already increased the chances of seeing a SOL ETF from 70% to 90%. A rise that seems validated by the recent actions of the SEC.
Decision as early as this summer?
Technically, the SEC has until October to make a decision. But according to several internal sources, the signals are green for an early approval.
If confirmed, Solana could soon join Bitcoin and Ethereum in the big leagues. And this time, the stakes are twofold: capturing institutional demand and validating staking as a legitimate component of crypto ETFs.
A Solana ETF in July? The market waits and watches.
