🚀 Solana ETF Approval Imminent: Major Firms Double Down With Amended Filings

Wall Street's crypto love affair hits hyperdrive as asset managers scramble to launch the first Solana ETF.

The race is on

Three heavyweight firms just filed amended applications—a telltale sign regulators are nearing approval. No price predictions here, but let's just say traders are already front-running the news.

Why Solana? Why now?

The 'Ethereum killer' keeps proving its institutional chops. 99.9% uptime, sub-penny fees, and that sweet, sweet scalability. Even the SEC's usual foot-dragging can't ignore these fundamentals forever.

The fine print

Expect the usual Wall Street circus—premium fees for 'exposure', endless analyst debates, and at least one CNBC anchor butchering the word 'blockchain'. But hey, your boomer uncle might finally stop asking when Bitcoin's 'going back to $20K'.

Funny how fast 'risky crypto' becomes 'digital asset allocation' when there's a 2% management fee attached.

Regulatory Progress Signals Momentum for Solana ETFs

The amended S-1 filings, submitted on Thursday, reflect growing momentum among institutional players to secure regulatory approval for Solana ETFs. According to ETF experts such as Bloomberg analyst Eric Balchunas and ETF Store President Nate Geraci, these updates suggest ongoing and productive dialogue between the SEC and ETF issuers.

Unlike Bitcoin and ethereum ETFs, which have already seen approval and are trading in the U.S., Solana ETFs remain under regulatory review. However, analysts believe the latest developments significantly improve the chances of a green light. Industry insiders are optimistic, placing the odds of approval at an estimated 95% for spot Solana ETF products—excluding those that feature staking elements.

Debate Around Staking in Crypto ETFs

A key topic in the ongoing discussions revolves around whether staking features should be allowed in spot Solana ETFs. While the current batch of amended filings does not include staking functionality, several firms are pushing for its inclusion.

Asset managers and blockchain advocates—including Jito Labs, the Solana Policy Institute, VanEck, Bitwise, and Multicoin Capital—are calling on the SEC to consider permitting liquid staking in Solana-based exchange-traded products. Liquid staking allows investors to stake their SOL tokens and earn rewards while retaining the ability to transfer or trade the staked assets. This WOULD not only maintain liquidity but also improve capital efficiency and lower the operational costs of managing ETFs.

If approved, staking-enabled ETFs could become a game-changer for both retail and institutional investors, offering them the potential to earn passive rewards while retaining full flexibility over their holdings.

Ethereum ETFs May Set Precedent for Staking Approval

Meanwhile, the SEC is already evaluating similar proposals from asset managers seeking to add staking to their existing Ethereum ETFs. BlackRock, among others, has reportedly submitted documents to incorporate Ethereum staking into its product lineup.

Industry watchers like Geraci suggest that staked Ether ETFs could be next in line for regulatory approval, especially after the SEC’s recent decision to allow in-kind redemptions for spot Bitcoin and Ethereum ETFs. This incremental progress could pave the way for staking features to be added to other digital asset ETFs, including Solana, in the near future.

Solana’s Institutional Appeal on the Rise

The push for spot Solana ETFs comes as the Solana blockchain continues to gain traction among institutional investors and developers. Known for its high-speed transactions and low fees, Solana has positioned itself as a scalable solution for decentralized finance (DeFi), non-fungible tokens (NFTs), and real-world asset tokenization.

The inclusion of Solana in ETF offerings would provide U.S. investors with regulated exposure to one of the most actively used LAYER 1 blockchains in the ecosystem today. Furthermore, the move could boost SOL’s long-term value proposition by attracting a broader range of investors through traditional brokerage platforms.

Industry Watching SEC’s Next Steps Closely

While the crypto market awaits an official response from the SEC, the coordinated effort by multiple major financial institutions demonstrates the industry’s growing confidence in Solana’s potential. The willingness of these firms to pursue updated filings and align with regulatory expectations signals maturity and intent to meet compliance standards.

It remains unclear whether the SEC will authorize staking in the initial round of Solana ETF approvals. However, with strong institutional backing and a 95% approval probability for basic spot ETFs, the market appears to be on the verge of welcoming its first SOL-focused exchange-traded products.

What This Means for Investors

For everyday investors, a spot Solana ETF—particularly one that may eventually incorporate staking—would represent a simplified and secure method of gaining exposure to the Solana network without directly handling cryptocurrency. If the ETFs are approved, investors could access SOL through traditional financial platforms, benefiting from the same regulatory safeguards as other stock or ETF investments.

As the regulatory environment evolves, the launch of a Solana ETF could mark a major milestone in the continued integration of digital assets into mainstream finance.