Solana ETF Frenzy Heats Up: Invesco & Galaxy Jump In—9 Issuers Now Battling for SEC Nod!

The race to launch the first Solana ETF just got fiercer—Wall Street heavyweights Invesco and Galaxy Digital have thrown their hats in the ring. With nine issuers now scrambling for SEC approval, the crypto world braces for a regulatory showdown.

Why the gold rush? Solana’s blistering performance and institutional FOMO are turning this into the hottest ETF cage match since Bitcoin’s debut. But let’s be real—since when has the SEC made anything easy for crypto?

Each contender’s application reads like a Hail Mary pass: 'Look, we pinky-swear this isn’t another unregistered security!' Meanwhile, traders are already pricing in the approval—because nothing says 'healthy market' like speculative frenzy before the paperwork’s even signed.

One thing’s certain: when the suits start elbowing each other to profit from decentralized tech, you know we’ve hit peak financial irony.

Source: James Seyffart/X

All about Invesco and Galaxy’s Solana ETF filing

Invesco and Galaxy’s recent Form S-1 filing outlines their intention to launch a Solana ETF that directly holds the asset, mirroring the structure of other Spot-based crypto ETFs.

Interestingly, the firms included provisions that allow staking a portion of the ETF’s SOL through trusted providers.

This approach could generate additional yield for the fund via staking rewards, which may be treated as income.

Additionally, other Solana ETF contenders have also updated their filings with similar staking strategies, signaling a growing trend among issuers to enhance fund performance through this mechanism.

This shows that institutional investors are clearly recognizing and tapping into the unique benefits that crypto-based ETFs offer, beyond just price appreciation.

Riding on the strong performance of Bitcoin ETFs and the moderate success of ethereum funds in 2024, asset managers are now actively exploring investor appetite for altcoin-backed products, beginning with Solana.

Supporting this momentum, the SEC recently asked Solana ETF issuers to revise their S-1 filings, indicating that regulatory approval may be closer than expected.

Analysts and betting markets are optimistic

Bloomberg ETF analyst James Seyffart recently stated that the agency could approve the filings as early as July, potentially alongside ETFs tracking multiple cryptocurrencies.

This surge in developments shows that both institutional and retail investors are actively seeking broader exposure to the crypto market.

As anticipation builds for what analysts are calling a potential “altcoin ETF summer,” Balchunas declared Solana as the frontrunner in this new wave.

With prediction markets assigning a 90% probability of SEC approval and a final decision deadline of 10 October, the stage is set for all nine proposed Solana ETFs to potentially launch simultaneously, ensuring a level playing field.

However, despite the excitement, SOL’s market performance has been muted lately. At press time, it was trading at $143.71, with technical indicators like RSI and MACD signaling a bearish trend.