The SEC is putting a stop to Solana SOL ETF submissions are delaying approval of the exchange traded funds. Regulators have recently expressed concerns over Solana’s classification as security. The Cboe BZX Exchange subsequently halted the 19b-4 submissions of Solana ETFs. VanEck, as well 21Shares, have not submitted any SOL ETF applications.
Solana The token that is most likely to be the subject of the US’s next ETF based on cryptography has received the highest rating. Bitcoin and Ethereum have already been approved this year. This time, things may be different. SOL has been referred to as a “commodity” by many. The ETF will become more complex.
If the filings had been approved, the Solana Funds regulatory review would have begun. To do so, both the S-1 effective registration statement and the 19b-4 form are required. SEC made it very hard for Ethereum and Bitcoin to file their previous crypto ETFs. The assets performed extremely well after the launch.
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SEC Questions Future of Solana SOL Funds?
The SEC’s move puts the prospects of an SOL ETF being offered in the US under question. Most market participants expected that this product would be launched in the year 2025. But that is no longer likely. There may be other factors that are working against Solana, including the SEC, when it comes time to approve an ETF.
Solana is up nearly 600% since last year. SOL traded at just $21 a year earlier. The asset had previously risen above the $200 mark. The asset has become the top-performing cryptocurrency of 2024, and it is predicted to continue rising this year. It was speculation about a new ETF that caused it to rise in value, however the SEC’s latest announcement did just the opposite.
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SOL has dropped 3% in the last week, to $143.31. Solana’s trading volume has increased by 10.05% in the past 24 hours despite its price drop and decrease in market capitalization. Although investors in Solana still hope the ETF could be released this year, it is more likely that the SEC would delay its approval to at least 2025.
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Source: watcher.guru
