BREAKING: SEC Paves Way for Solana ETF Approval – Crypto’s Next Institutional Mega-Play?
The crypto world just got its biggest regulatory nod since Bitcoin ETFs. The SEC's newly unveiled framework for crypto ETF approvals has Solana bulls smelling blood in the water.
Why This Matters Now
Wall Street's been circling SOL like sharks since its 2023 comeback—now regulators might finally give them the harpoon. The 'Ethereum killer' could become the first altcoin ETF, leaving ADA and XRP holders fuming at their Bloomberg terminals.
The Fine Print
Insiders whisper the framework includes brutal custody requirements that'll make exchanges sweat (good luck explaining those 'proof-of-reserves' reports again). But for Solana? Their institutional-grade validators just became the hottest talking point since 'blazing fast TPS.'
Bottom Line
Bankers will pretend they understood Solana's tech all along—just like they suddenly 'got' Bitcoin after the $70K pump. The real winner? Retail traders front-running the suits...again.
SEC seeks new crypto product listing standards amid Solana ETF resubmissions
With over 50 crypto-related ETFs pending with the SEC, regulators are reportedly developing a general listing standard to expedite the process of listing these products. This follows the SEC's new guidance on listing requirements for crypto ETFs, clarifying areas such as NAV calculation, custody standards and benchmark selection.
"We anticipate that by the end of September, the SEC will roll out universal listing procedures for spot crypto ETFs in partnership with national stock exchanges," said analysts at CF Benchmarks in a report on Friday.
The regulator aims to provide a standardized listing template that WOULD eliminate the current requirement for exchanges to file a separate request each time they seek to list a new crypto product, according to Reuters.
The MOVE is aimed at streamlining the approval process and reducing procedural delays for spot crypto ETFs. The new standards could shorten the timeline for the SEC to approve crypto ETF filings, reducing it from a 240-day window to about 75 days.
The framework is also expected to include specific eligibility criteria for tokens, requiring them to meet standards for exchange listing and sufficient liquidity. This is the second time such news has surfaced in the market, following reports from last week that the regulator is planning to develop listing criteria for token-based ETFs that will allow issuers to bypass the 19b-4 filing.
The news comes as the SEC ordered potential Solana ETF issuers to modify and resubmit their filings before the end of July, according to CoinDesk, citing people familiar with the matter. This aligns with reports from last month, which stated that the Commission requested that issuers update their S-1s to modify the language of in-kind redemptions and also outline their approach to staking. The move suggests a positive engagement from the regulator, with speculation of an approval already growing in the crypto community.
However, Bloomberg ETF analyst James Seyffart noted in an X post on Monday that the development does not signal an immediate approval.
"Keep in mind that this would just be more amendments and more back and forth, NOT approvals, as I've seen some people hint. Pretty much any sort of interactions between SEC and issuers/exchanges should be viewed positively," he wrote.
The expectations of Solana product approvals follow the listing of Rex Shares and Osprey's SOL+Staking ETF (SSK) on Wednesday, becoming the first staked crypto ETF in the US. The fund provides investors with direct exposure to Solana's spot price, along with on-chain staking rewards.
