- Bitwise files for Solana ETF in Delaware.
- VanEck, 21Shares, and Canary Capital filed earlier.
- Regulatory shift expected in the US.
The crypto market is seeing a significant surge in interest from institutional investors. Thanks to changes in the US political landscape, investors are now expecting a significant shift in regulations. In particular, this will have a major impact on altcoin ETFs.
Most recently, Bitwise was the latest company to try to take advantage of this shift. The company filed for a Solana Exchange Traded Fund (ETF), which just recently seemed very unlikely to get approval.
Bitwise’s Entry into Solana ETFs
Bitwise became the latest company to join the Solana ETF race. On Monday, November 20, Bitwise filed to establish a statutory trust in Delaware for a future Solana ETF. The filings come after the recent US elections changed the regulatory outlook on altcoin ETFs.
For Bitwise, this is the first step in the approval process for a fund that would track Solana’s performance. The firm still needs to submit filings with the Securities and Exchange Commission, before the potential approval.
The filing did not specify the exchange or the proposed ticker. However, Bitwise’s Bitcoin and Ethereum ETFs are listed on the New York Stock Exchange Arca. The firm also did not specify the proposed ticker for the fund.
Bitwise Joins Race With VanEck and Canary Capital
Earlier this year, fund managers VanEck, 21Shares, and Canary Capital were the first firms to file for a Solana ETF approval. At the time, altcoin ETFs faced significant regulatory roadblocks. Under Gary Gensler, the SEC considers most altcoins unregistered securities.
For this reason, the agency is reluctant to allow their integration into the financial system. However, with Donald Trump’s election win, which was based on a pro-crypto platform, the regulatory landscape is likely to change.
Ahead of the election, VanEck’s Matthew Sigel explained that Solana ETF approvals hinge on a change in the SEC’s leadership. More recently, the analyst explained that Donald Trump will likely push for regulation that favors innovation in the financial sector.
On the Flipside
- In October, Bitwise filed to register a spot XRP ETF in Delaware. XRP is another likely candidate for an ETF product.
- The SEC is reluctant to approve spot ETFs due to a perceived risk of market manipulation and volatility.
Why This Matters
The push for Solana spot ETFs signals growing institutional interest in altcoin ETFs. Institutional investors have significant capital, and can significantly boost liquidity and prices.
Read more about VanEck’s take on Solana ETF:
VanEck Predicts Wave of Solana ETF Approvals Post-Election
Read more about Trump’s crypto investments:
Trump Media Jumps In Crypto, Eyes Bakkt Platform
