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1.7 Trillion Dollar Giant Solana ETF Went to SEC, 3 Companies Moved to the Next Stage! - Coin Bulletin
SEC has accepted the spot Solana ETF applications from 21Shares, Bitwise, VanEck, and Canary Capital, while Franklin Templeton has also made a new application for Solana ETF.
The U.S. Securities and Exchange Commission (SEC) has officially accepted spot Solana ETF applications from 21Shares, Bitwise, VanEck and Canary Capital. This development indicates that the process for the (ETF) launch of Solana-based exchange-traded funds is underway. Franklin Templeton, on the other hand, joined the ETF race by filing a new application in Delaware under the name Franklin Solana Trust.
Cboe BZX Exchange, 21Shares, Bitwise, VanEck, and Canary Capital have submitted spot Solana ETF applications to the SEC. This step is progressing similarly to the process followed for spot Bitcoin ETFs. Acceptance of the applications by the SEC signifies the official start of the process and indicates the commencement of the public comment period. Now, a 21-day review period has commenced, and it is expected that the SEC will make a decision or extend the review period at the end of this time.
SEC's acceptance of these applications marks a new era for altcoin ETFs after the approval of Bitcoin ETFs last year. Bloomberg ETF analysts James Seyffart and Eric Balchunas evaluated the likelihood of Solana ETFs being approved at 70%. During this process, it is also being discussed that other altcoin ETFs such as XRP, Litecoin, and Dogecoin could potentially be approved alongside Solana.
Franklin Templeton applies for Solana ETF
Immediately after these developments, Franklin Templeton, which manages $1.7 trillion worth of assets, filed a new application in Delaware under the name of Franklin Solana Trust. This move suggests that the company is preparing to launch a Solana-based ETF.
On the other hand, the SEC had evaluated the process of converting Grayscale's Solana Trust into an ETF last week. The outcome of this process could be decisive for the future of other Solana ETF applications. It is still unclear how the SEC will classify Solana. Unlike Bitcoin and Ethereum, there is a possibility that Solana could be considered a security. However, it is noted that with the Trump administration coming into power, the SEC has started to show a more crypto-friendly attitude and is more favorable towards altcoin ETFs.
While the SEC continues to evaluate spot Solana ETF applications, market expectations are that these funds could be approved within 2025. The decision that the SEC will make after the 21-day evaluation period will be a critical turning point for Solana ETFs.