TLDR
- Fidelity, Franklin Templeton, and other managers update filings for Solana ETFs.
- Solana ETFs could be approved in the next two weeks after regulatory updates.
- New Solana ETFs will directly track the asset’s price and offer staking rewards.
- The SEC’s new crypto ETF rules could speed up the approval of Solana ETFs.
A series of recent amended filings from major asset managers, including Fidelity, Franklin Templeton, and BlackRock, have raised expectations for the arrival of Solana exchange-traded funds (ETFs). These filings suggest that spot Solana ETFs, which could include staking features, may be approved in the coming weeks. The updates to these filings follow regulatory discussions and provide more details on how staking will be implemented, signaling significant progress in the approval process.
Asset Managers Update Filings for Solana ETFs
Several well-known asset managers, such as Fidelity, Franklin Templeton, CoinShares, Bitwise, Grayscale, Canary Capital, and VanEck, have recently amended their filings for proposed Solana ETFs. The amendments offer clearer details about staking activities, particularly regarding how the funds would stake Solana (SOL) tokens to earn yield.
This is a notable feature, as the ability to stake assets can attract more investor interest by providing additional returns beyond price appreciation.
Fidelity’s revised filing reveals that the firm intends to stake some or all of its Solana holdings to generate additional yield. This aligns with the growing trend of ETFs offering not just exposure to the price movements of cryptocurrencies, but also opportunities for income through staking rewards. Other firms, including VanEck and Grayscale, have also made similar amendments to their filings.
SEC Collaboration and Positive Signs of Approval
The recent updates are seen by analysts as a sign of constructive dialogue between asset managers and the U.S. Securities and Exchange Commission (SEC). According to Bloomberg ETF analyst James Seyffart, the latest filings show “positive back and forth” between the issuers and the SEC. Seyffart’s assessment suggests that Solana ETFs may soon make their way onto exchanges.
Analysts believe that these filings indicate a quicker approval timeline, with some suggesting that the ETFs could be available within the next few weeks. Nate Geraci, president of NovaDius Wealth, has expressed optimism, stating that these funds could be approved in the next two weeks. Such a quick approval could be a result of the SEC’s recent changes to its listing standards for crypto ETFs, which have sped up the approval process for these products.
The Role of Staking in Solana ETFs
Staking is a key component of these proposed Solana ETFs. It allows holders of Solana tokens to earn rewards by participating in the network’s consensus mechanism. This feature would add an additional incentive for investors, particularly those seeking passive income from their holdings. As staking is integrated into the ETFs, it could offer a unique opportunity for exposure to Solana, along with a yield-generating aspect.
While some ETFs already offer indirect exposure to Solana, such as those holding a basket of various cryptocurrencies, these new products aim to directly track Solana’s price while providing staking rewards. This dual offering is expected to appeal to a wider range of investors, particularly those looking to leverage both Solana’s price movements and staking returns.
Existing Solana ETF Products and the Market Landscape
Some ETFs that provide Solana exposure have already been launched. For example, Hashdex’s Nasdaq Crypto Index US ETF now includes Solana alongside Bitcoin and Ethereum. The SEC also recently approved similar mixed offerings from Grayscale.
Furthermore, REX-Osprey launched a Solana staking fund in July, which currently holds over $300 million in assets. Despite these developments, the new filings from asset managers suggest a more direct, transparent approach to Solana ETFs, particularly those with staking capabilities.
As the market continues to evolve, these new Solana ETFs could play a key role in shaping how investors engage with the cryptocurrency. If approved, they would likely bring more institutional attention to Solana, potentially driving further interest in both the asset and the broader crypto market.
