Cboe Proposes Solana ETFs in Collaboration with VanEck and 21Shares

The Chicago Board Options Exchange (Cboe) has submitted formal requests to the U.S. Securities and Exchange Commission (SEC) to list spot Solana ETFs, a significant move for VanEck and 21Shares. 

The recent filings, recorded on July 8, mark the initiation of the SEC’s review process, which could lead to the first spot of Solana ETFs being traded on Cboe’s platform.

Review and market response

The applications submitted are a first of their kind for spot Solana ETFs and follow an earlier Form S-1 filing by VanEck and 21Shares with the SEC on June 27. Since the initial announcement, the market has had a noticeable response. 

The price of Solana (SOL) has been in a recovery phase, currently trading at $141.05, showing a modest increase of 0.8% over the past 24 hours despite a month-on-month decrease of 11%.

Matthew Sigel, VanEck’s Head of Digital Asset Research, shared insights in a Bloomberg interview on July 4 about the potential influence of upcoming elections on the SEC’s decisions regarding Solana ETFs. 

Matthew Sige highlighted concerns over SOL’s lack of futures market regulation, noting it as a potential obstacle. Sigel remains optimistic, however, suggesting that the November elections bring changes to the SEC that favor the approval of Solana ETFs, particularly if there is a change in leadership from the current SEC chair, Gary Gensler.

Sigel also noted that the influence of crypto voters could be pivotal in shaping the regulatory landscape, echoing sentiments previously expressed by billionaire Mark Cuban and Bloomberg analyst Eric Balchunas regarding the need for more tailored crypto regulations.

Progress with ether ETFs

The dialogue around Solana ETFs comes alongside continued advancements with Ether ETFs. On May 23, the SEC approved Cboe, NASDAQ, and NYSE applications to list and trade spot Ether ETFs. VanEck welcomed this approval, praising the SEC’s acknowledgment of Ether as a decentralized commodity. This series of approvals enhances the prospects for further cryptocurrency integration into mainstream financial products.

Broader implications for the Crypto sector

Earlier this year, the SEC supported the crypto sector by approving several Bitcoin ETFs in January. This trend is seen as a positive development for the crypto market, with entities like Grayscale actively increasing their Bitcoin holdings during market dips. The proactive stance of regulatory bodies in accommodating digital assets through ETFs suggests a maturing approach toward cryptocurrency regulation, heralding a more expansive future for such financial products.

The post Cboe Proposes Solana ETFs in Collaboration with VanEck and 21Shares first appeared on Coinfea.