Solana Set to Create Millionaires as SEC Fast-Tracks ETF Approvals
SEC Signals Acceleration in Solana ETF Approvals
Urgent Refilling Requests from the SEC
The U.S. Securities and Exchange Commission (SEC) has recently communicated a pressing directive to firms aiming to launch spot Solana ETFs, urging them to submit revised S-1 documents by the end of July. This request comes well ahead of the October 10 deadline for final decisions, indicating that the SEC may be looking to expedite the approval process and avoid a last-minute backlog.
Reasons Behind the SEC’s Swift Action
The urgency stems from the recent approval of the REX-Osprey SOL and Staking ETF (SSK), which was able to launch under the Investment Company Act of 1940. This fund received automatic approval unless the SEC intervened, and the agency chose not to block it. As a result, SSK is now operational and represents the first Solana staking fund available in the U.S. market.
This unexpected launch has altered the dynamics for other applicants. Historically, the SEC has been cautious about granting any one issuer a first-mover advantage, particularly in the cryptocurrency ETF sector. In previous instances involving bitcoin and ethereum ETFs, the SEC synchronized approvals to ensure fairness among multiple applicants. With SSK now in the market, other Solana ETF contenders are pushing for equal treatment, and the SEC seems to be responding.
Implications of Spot Solana ETFs
The introduction of spot Solana ETFs would position them alongside bitcoin and ethereum as the only cryptocurrencies with approved spot-based ETFs in the U.S. This development could significantly transform the investment landscape, providing easier access to SOL through conventional brokerage accounts and potentially unlocking billions in new investments.
Moreover, the SEC’s actions will have broader implications for future filings, including those for XRP, Dogecoin, and Litecoin. The regulatory decisions made now will likely influence the trajectory of these upcoming applications.
Updates in ETF Filings
In June, the SEC provided detailed guidance to applicants, requesting clearer explanations regarding in-kind creations, redemptions, and staking mechanisms—essential components of how these ETFs would operate. This marked the SEC’s first formal engagement with the framework for Solana-based products.
With this new guidance in mind, issuers are now racing to resubmit their applications before the informal deadline in July. The quick turnaround suggests that the SEC is preparing to make decisions sooner than the October 10 cutoff, possibly aiming for simultaneous approvals to maintain fairness and transparency in the process.
If the Solana ETFs receive approval in August or September, as anticipated, it could spark renewed interest in cryptocurrencies within traditional markets. This would also provide Solana with a favorable narrative as the year progresses, particularly as capital may begin to shift away from bitcoin and ethereum following their respective ETF rallies.
As of now, Solana is trading at $151.67.
