SEC Makes a Decision on Solana ETFs
Solana ETFs will have to wait a little longer to receive approval from the SEC after that government body extended the deadline.
Quick overview
- The SEC has delayed its ruling on Solana ETFs until October, causing Solana (SOL) to dip nearly 4%.
- This delay affects the 21Shares Core Solana ETF and the Bitwise Solana ETF, which are awaiting approval.
- While the SEC has approved ETFs for Bitcoin and Ethereum, Solana's case may require more scrutiny.
- The SEC aims to ensure that Solana ETFs meet strict regulatory guidelines before making a decision.
Live SOL/USD Chart
The United States Securities and Exchange Commission has decided to delay ruling on Solana ETFs until October, and Solana (SOL) dipped nearly 4%.
One of the big factors putting selling pressure on Solana today is the SEC’s decision to delay their decision on Solana ETFs for two months. It was expected that they might rule quickly in favor of these ETFs since several similar assets have been approved by the government entity recently.
SOL/USDThat was not the case for Solana, though. This is going to directly affect 21Shares Core Solana ETF as well as the Bitwise Solana ETF. If these ETFs can gain SEC approval, then Solana as a digital asset may gain widespread attention and may be used by a number of markets. Solana is waiting for the same kind of consumer trust and market adoption that Bitcoin and even Ethereum enjoy. It looks like Solana holders will have to wait a bit longer.
Are Solana EFTs Likely to Be Approved?
Even though the SEC has already approved EFTs for Bitcoin and Ethereum, adding eight to the approved list in January of 2025, the case may be a bit different with Solana. They have set the deadline for ruling on Solana ETFs for October 16th, and this gives them time to be careful with the regulatory process and deliberate over their choices.
The SEC will not broadly approve all ETFs, since they do not all function the same. Solana exchange-traded funds (ETFs) will be ruled on in two months’ time, but there is no guarantee that they will receive approval. The SEC says it needs the time to look at issues that may be raised over these particular ETFs and look at any proposals that have been made. This may not even be the only deadline extension that is made for these ETFs.
Even though the current administration is pro-cryptocurrency, the SEC will need to look at the particulars of Solana ETFs to see if they meet the strict guidelines that must be met for any funds of this nature. Solana’s status as one of the top-ranking crypto coins could help, as that shows reasonably good consumer trust in the coin and a measure of stability and longevity for that asset on the market.
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