Fidelity’s Solana ETF Hits Regulatory Snag – No Green Light Until Fall 2025

Wall Street's crypto dreams hit another speed bump as Fidelity’s Solana ETF faces delays. The SEC’s foot-dragging means investors won’t see approvals before autumn—just in time for another 'crypto winter' joke.

Regulators love moving at blockchain speeds—glacial. While Solana’s tech processes 50k TPS, Washington’s bureaucracy manages maybe 50 decisions per fiscal year. The irony? Thick as a prospectus.

Meanwhile, traders are left holding bags of SOL futures, watching Grayscale’s legal team do the heavy lifting. Maybe by 2026 we’ll get that 'institutional adoption' we keep hearing about—right after the fifth delay on Bitcoin ETFs.

The Solana ETF will have to wait. Again!

The filing was officially acknowledged on the 7th of July, with the SEC now entering a comment and rebuttal phase under Commodity-Based Trust Shares.

But there could be more delays for other altcoin ETFs too, which were initially expected to be approved in the summer. 

In an X (formerly Twitter) post on the 7th of July, Bloomberg senior ETF analyst James Seyffart said the delay was ‘expected.’ He linked the temporary hold-up to the agency’s planned ‘digital asset ETP framework.’

“We’re still waiting for some sort of movement from the SEC on a generalized digital asset ETP framework.”

Source: James Seyffart/X

Altcoin ETF approval could extend to Q4

Per the report, the SEC asked issuers to refile their amended applications by the end of July. However, Seyffart said that approval in Q3 maybe likely, but the SEC plan could extend the timeline. 

“Q3 approval is definitely possible and maybe even likely. But that doesn’t mean it’s imminent.”

His projection was similar to Nate Geraci of ETFStore. Geraci cautioned that some issuers expected the SEC’s proposed crypto ETF approval guidelines to be functional by Q4. 

“Some issuers don’t believe this framework will be fully implemented until early fall. So *no* spot crypto ETF approvals until then.”

According to the agency’s statement on July 1st, the framework WOULD also involve added disclosure requirements. 

Already, the recently approved conversion of the Grayscale multi-crypto index fund into an ETF has been paused until the said framework is in place. 

Not all ETFs are the same: Who’s next in line?

Worth pointing out, however, that these spot applications are under a different structure (Securities Act of 1933). The approved and live REX-Osprey SOL ETF staking is under the Investment Company Act of 1940. 

That said, Seyffart expected most of the altcoin ETFs, including those with staking, to be greenlighted all at once.

Notably, Litecoin [LTC], SOL, Ripple [XRP], Dogecoin [DOGE], and Cardano [ADA] ETF filings all have a final SEC decision deadline in October. 

Source: Bloomberg

SOL market reaction

SOL dipped about 2% from $154 to $147 after the update. According to Options data, the market skew suggested range-bound activity in summer.

In particular, in the past 24 hours, the largest volume of call options contracts (bullish bets) was concentrated at $152, $154, and $160 (green bars).

Source: Laevitas 

Meanwhile, puts (bearish bets) and potential price floors were at $140 and $144. In short, Options traders expected SOL to remain range-bound within $140-$160 in the NEAR term.