The Spot Bitcoin ETF and Ethereum Exchange Traded Funds (ETFs) have been a key factor in the adoption of cryptocurrencies. They provide investors with a way to get exposure to two major cryptocurrencies, without having to manage a cryptocurrency wallet.
New reports indicate that Solana might not be able to follow the path of accessibility because of regulatory barriers.
Solana-based ETFs set to be rejected?
At least two Spot Solana Exchange Traded Funds (ETFs) are likely to be disappointed, as the US Securities and Exchange Commission notified at least five of the prospective issuers of the rejection of 19b-4 applications.
Eleanor Terrett is FOX Business’s Eleanor Terrett confirmed Sources indicate that the Securities regulator does not intend to approve new cryptocurrency ETFs during the current administration. This is in line with how the SEC approved Bitcoin ETFs.
In the beginning of 2018, in January, SEC approved eleven Bitcoin spot ETFs. Then, in July, a number of Ethereum spot ETFs were also approved. A Solana ETF will therefore add to the growing list of spot crypto ETFs available for investors.
Grayscale is the latest asset manager to seek approval of investment products based on Solana. According to an filing on Tuesday, the crypto asset manager is looking to convert its $120 million Grayscale Solana Trust (GSOL) into a spot ETF on NYSE Arca,
Grayscale is now the fifth asset management firm to have applied for a Solana ETF spot this year. VanEck 21Shares Bitwise Canary Capital and Canary Capital are among the other large asset managers that have applied for a spot in Solana ETF this year. appliedSOL has risen by more than 200% in the past year, a sign of a resurgence across the market.
Concerns about SOL’s classification persist. In August of this year, the SEC denied Cboe BZX’s proposal for two Solana spot ETFs, saying that it was unsure if SOL qualified as a financial instrument.
Atkins’ SEC Appointment Sparks Hope
However, the recent appointment of crypto advocate Paul Atkins to SEC chairman has caused some concern. sparked There is renewed optimism about a favorable regulatory climate for digital assets, such as Solana ETFs.
Nate Geraci is the president of ETF Store. He echoed these sentiments in an article. tweetAtkins will officially take over as SEC Chairman in January. Industry veterans predict that as the current administration ends, regulatory changes will accelerate, and this includes the approval of crypto ETFs.
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Source: cryptopotato.com
