The post 21Shares becomes second major firm to apply for a spot Solana ETF this week appeared on BitcoinEthereumNews.com.

Asset manager 21Shares has filed for a spot Solana exchange-traded fund (ETF), marking the second such application from a major firm this week. The proposed 21Shares Core Solana ETF is designed to track the performance of Solana (SOL) by aggregating the notional value of SOL trading activity across major spot exchanges, according to the S-1 registration form filed with the US Securities and Exchange Commission (SEC). Coinbase Custody Trust Company will act as the custodian. Surging interest The filing follows a similar application by VanEck on June 27, which led to a 7% increase in SOL’s price. However, 21Shares’ filing did not immediately impact SOL’s price, with the token trading at  $140.2 as of press time — down over 6% on the day. Beyond the US, Canadian fund manager 3iQ has also filed for a spot Solana ETF earlier this month, aiming to launch the first such product in North America on the Toronto Stock Exchange. The move highlights growing confidence and interest in Solana as a viable asset for institutional investment. The surge in interest around Solana ETFs comes as the crypto market anticipates regulatory changes and increased acceptance. Despite the recent applications, the absence of a Solana futures product is seen as a potential hurdle for approval. However, some believe a change in leadership could facilitate the process. Eric Balchunas, senior ETF analyst at Bloomberg, noted that the approval odds for a Solana ETF are closely tied to potential shifts in the US presidency and regulatory attitudes. According to Balchunas: “The knee-jerk reaction here is, ‘Oh, this will never be approved because there aren’t Solana futures,’ but if there is a change at POTUS, I think anything is possible.” Following the approval of spot Ether ETFs in May, Bernstein analysts suggested that Solana might also be classified as…

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Filed under: News - @ June 29, 2024 6:10 am