VanEck and 21Shares have filed for the first Solana ETF in the US. However, the approval of this ETF depends on the outcome of the upcoming presidential election.
Political Influence on Crypto Regulation
Matthew Sigel, VanEck’s Head of Digital Asset Research, believes the election will impact the approval process due to differences in political approaches to crypto regulation.
Fair Approval Process for Solana ETF
Sigel calls for a fair approval process for the Solana ETF, emphasizing the growing influence of crypto voters and a changing regulatory environment.
Regulatory Hurdles
The lack of a regulated futures market for Solana could hinder the ETF’s approval. Sigel attributes this to SEC Chairman Gary Gensler’s influence.
Outcome Depends on Election and SEC Leadership
Sigel believes the Solana ETF could still be approved if Biden wins the election, but it depends on the SEC chair. He urges the SEC to adopt a timely and fair approval process.
Regulatory Clarity from FIT21 Act
Alex Thorn of Galaxy Digital highlights the significance of the FIT21 Act, which clarifies regulatory boundaries between the SEC and CFTC. This could improve the chances of ETP approvals for digital currencies beyond Bitcoin and Ether.
Conclusion
The fate of the Solana ETF remains uncertain due to regulatory hurdles and the outcome of the presidential election. VanEck’s early filing demonstrates their strategic approach, but the ETF’s approval hinges on political and regulatory developments.
