SEC’s Solana Issues Stall ETF Launch

• The SEC mentioned considerations over Solana’s potential standing as a safety.
• The Cboe BZX eliminated the Solana ETFs’ 19b-4 filings following the SEC-ETF issuers assembly.
• VanEck assures that their plans for the Solana ETF are “nonetheless in play.”

The SEC’s worries over Solana’s (SOL) safety standing have put the brakes on the proposed Solana ETFs functions from VanEck and 21Shares.

Following a gathering with potential issuers, the SEC’s considerations led the Cboe BZX Trade to carry off on submitting the required 19b-4 filings to the Federal Register.

Asset managers like VanEck and 21Shares, who’ve already launched each Bitcoin (BTC) and Ether (ETH) Spot ETFs, had utilized for Solana ETFs. VanEck filed the S-1 kind on June 27, 2024, and 21Shares adopted go well with on June 28. The SEC had additionally confirmed receiving 19b-4 filings from these funding giants.

With this information, the group remained hopeful in regards to the launch of Solana ETFs, significantly as a result of earlier launches of Bitcoin and Ether ETFs. Bloomberg’s senior ETF analyst Eric Balchunas predicted the ultimate deadline for Solana ETFs to be mid-March 2025. He additionally highlighted the numerous affect of the US elections in November on the ETF launch.

Nevertheless, the SEC’s newest stance on the already obtained functions have led to the elimination of 19b-4 filings from the Cboe web site. Presently, the filings will not be accessible on the web site or the Federal Register. Due to this fact, the potential launch of Solana Spot ETFs is on maintain and can solely occur after the SEC approves 19b-4 types.

The standing of Solana is the important thing matter of concern within the ETF launch. Although the SEC retracted its request to categorise SOL as a safety, this doesn’t considerably imply that the regulators have reversed their stance on the token’s standing.

Regardless of the SEC’s transfer, VanEck’s head of digital belongings analysis, Matthew Sigel, assured that their Solana ETF is “nonetheless in play.” Including that the 19b-4 submitting differs from the S-1 prospectus, Sigel posited that VanEck’s S-1 prospectus for the SOL ETF remains to be lively, and the corporate is pursuing its plans for the ETF launch.