SEC Reportedly Halts Solana ETF Approval Amid Ongoing Security Classification Debate ⋆ ZyCrypto
The post SEC Reportedly Halts Solana ETF Approval Amid Ongoing Security Classification Debate ⋆ ZyCrypto appeared on BitcoinEthereumNews.com.
Advertisement     The U.S. Securities and Exchange Commission (SEC) has halted the approval process for Solana (SOL) spot exchange-traded funds (ETFs), citing ongoing concerns about the crypto’s classification as a security. This decision follows recent discussions between the SEC and prospective ETF issuers, which have led to the CBOE BZX Exchange withdrawing its 19b-4 filings related to Solana. Over the weekend, an observer called “Summer” on X noted that the 19b-4 filings had disappeared from the CBOE website and are no longer listed on the Federal Register. The S-1 statement from 21Shares was also removed from the search results. At press time, only VanEck’s S-1 registration statement for a Solana ETF remained visible in the SEC’s filing system. According to sources familiar with the matter, the SEC’s apprehension over Solana’s security status could be why CBOE was prompted to refrain from filing the 19b-4 forms with the Federal Register. Notably, these forms, submitted by exchanges on behalf of ETF issuers, are crucial for initiating the approval process, as their withdrawal effectively delays the timeline for any potential decision on the Solana ETFs by the regulator. However, this shift has not surprised many in the industry, given the SEC’s previous stance in legal filings, such as against Binance and Coinbase, where Solana has been referred to as a potential security. Advertisement   Meanwhile, halting the approval process has led to speculation that issuers may soon submit revised 19b-4 forms with stronger arguments against the classification of Solana as a security. On Monday, Matthew Siegel, head of digital asset research at VanEck, hinted at the possibility of updated filings, stating that removing certain applications from the CBOE website does not necessarily mean the end for Solana ETFs. He further shared his firm stand on Solana’s classification writing; “For the record, VanEck…
Filed under: News - @ August 25, 2024 10:11 pm