Franklin Templeton, a huge player in the investment world, has thrown its hat into the ring for a Solana ETF (exchange-traded fund). This means they’re trying to get approval from the SEC to let US investors buy a fund that tracks Solana’s price. They’re not alone; several other companies are vying for the same opportunity.
Franklin Templeton’s Solana ETF: The Details
Franklin Templeton’s plan is to create an ETF that closely follows Solana’s price. It’ll be listed on the Cboe BZX Exchange, and Coinbase will hold the Solana. Interestingly, they’re also looking to include staking – essentially, letting their Solana earn more Solana through participation in the network. Any rewards earned from staking will be considered income for the fund. This isn’t entirely new; other companies are exploring similar staking options in their crypto ETFs.
This new Solana ETF would join their existing Bitcoin and Ethereum ETFs, showing their growing interest in the crypto market. They recently launched a combined ETH/BTC ETF after getting the green light from the SEC.
Staking and the Future of Crypto ETFs
The idea of adding staking to crypto ETFs is gaining traction. Other exchanges, like the NYSE and Cboe BZX, are also exploring this for Ethereum ETFs. With the US regulatory environment for crypto becoming clearer (like the SEC dropping its case against Coinbase), more traditional finance firms are jumping into the crypto game.
Solana’s Price Reaction
The news about Franklin Templeton’s application didn’t seem to significantly impact Solana’s price. At the time of writing, SOL is trading around $170, down about 2% in the last 24 hours.
