SEC Kicks the Can on Solana ETF—Again

Regulators hit snooze on 21Shares and Bitwise’s spot Solana ETF applications, leaving crypto investors to wonder if the SEC’s ’careful consideration’ is just code for ’we’ll get to it never.’

Another delay, another day of traders staring at charts—because who needs regulatory clarity when you’ve got hopium and leverage?

Funny how the same agency that greenlit Bitcoin ETFs moves at glacial speed when altcoins knock. Maybe they’re too busy counting their T+1 settlement profits.

Analysts predict high odds for Solana ETF in 2025

For their part, ETF experts remain unbothered by the latest delay. Bloomberg analysts James Seyffart and Eric Balchunas argue there’s still a good chance (70% in 2025) that there’s a Solana ETF approved in the U.S.

The rush isn’t limited to 21Shares and Bitwise. Heavyweights like VanEck and Franklin Templeton have also filed for Solana ETFs. This demand for Solana suggests strong institutional demand for regulated SOL exposure vehicles.

ETF products are also eyeing other altcoins like Litecoin and XRP. Litecoin ETF’s likely approval rates are around 90%, and XRP ETFs are at 85%. Dogecoin and Cardano ETFs follow closely, with approval probabilities of approximately 80% and 75%, respectively.

However, approval for all of those products is still pending. The approval process is slow and unpredictable. Some of these filings may not receive final action until late-2025.

Investors respond to SEC delays

The price of Solana saw a small bump on the news. SOL/USD has suffered the most in the last 7 days, with a loss of about 1.2% to trade around $166 at the time of writing. The market is also heavily sensitive to any whiffs of regulation, particularly on how they’d impact investor confidence and future ETF product availability.

Paradoxically, this decline is taking place at a time when institutions are showing even more interest in Solana. Some analysts believe the sluggish market may not be a long-term condition. As per recent trends, Solana has never been overbought. Thus, we can expect a more or less mid-term recovery.

Adding to the bullish action is the word from CME Group that it will launch Solana’s future contracts. If successful, these futures WOULD allow investors to hedge or speculate on SOL’s price in a regulated setting. And while the move is parsed as incremental, it is also predicted to make it easier for future ETFs to be approved.

Futures products do not manage the ETF but enable institutions to speculate on Solana without owning the coin. This is especially important because the regulatory outlook for spot crypto markets remains highly uncertain.

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