As an analyst with a background in cryptocurrencies and securities regulation, I find VanEck’s move to file for Solana (SOL) ETFs in the US an intriguing development. Having closely followed the regulatory landscape of digital assets and observing the evolution of the SEC’s stance on Ethereum (ETH), I believe VanEck has a solid case for SOL being considered a commodity rather than a security.
I’ve noticed that VanEck, a renowned American investment firm, recently submitted an S-1 registration form to the Securities and Exchange Commission (SEC) for launching Solana-based Exchange Traded Funds (ETFs) in the US market. This is the initial application for a Solana ETF in the country. In the wake of this announcement, the cryptocurrency’s price experienced a significant surge, recording approximately 8% gains within the preceding 24 hours.
Six days ago, asset manager VanEck made a filing for Solana-based Exchange Traded Funds (ETFs) in Canada. Notably, VanEck gained recognition for attempting to launch Ethereum ETFs in the US during 2021. Although it did not receive approval right away, the U.S. Securities and Exchange Commission (SEC) has initiated the process and is expected to approve Ethereum ETFs from several issuers imminently. Alongside VanEck, Grayscale, Fidelity, BlackRock, and 21 Shares are among those awaiting approval for their respective Ethereum ETF products.
VanEck proposes that the Securities and Exchange Commission (SEC) collaborate with it and other ETF issuers regarding SOL Exchange-Traded Funds (ETFs), as cryptocurrency Solana is considered a commodity, not a security by VanEck. Previously, the SEC classified Ethereum as a security, but more recently, they have shifted their stance.
Mathew Sigel, VanEck’s research head, shared on X that he considers Solana’s native token, SOL, to operate in a manner akin to other digital assets such as Bitcoin and Ethereum. The token is employed for transaction fees and providing computational services on the blockchain. Similar to Ether on the Ethereum network, SOL can be exchanged on digital asset platforms or used in direct transactions.
He strengthened his argument by pointing out that “SOL shares key traits with successful digital assets, such as its decentralized structure, high functionality, and economic viability. This alignment supports our conviction that SOL could be a worthwhile investment for those seeking diversified opportunities in the market beyond the dominant app store duopoly.”
Experts predict that SOL Exchange-Traded Funds (ETFs) could potentially gain approval from the SEC around 2025. However, given the SEC’s past treatment of Bitcoin (BTC) and Ethereum (ETH), there is speculation that Solana (SOL) might be handled differently. Some industry insiders argue that the likelihood of SOL ETF approval increases if Donald Trump is re-elected as president.
Photo by GuerrillaBuzz on Unsplash
Read More
- ACT PREDICTION. ACT cryptocurrency
- W PREDICTION. W cryptocurrency
- PENDLE PREDICTION. PENDLE cryptocurrency
- Skull and Bones Players Report Nerve-Wracking Bug With Reaper of the Lost
- NBA 2K25 Review: NBA 2K25 review: A small step forward but not a slam dunk
- Mastering Destiny 2: Tips for Speedy Grandmaster Challenges
- Rainbow Six Siege directory: Quick links to our tips & guides
- KEN/USD
- Exploring Izanami’s Lore vs. Game Design in Smite: Reddit Reactions
- Overwatch Director wants to “fundamentally change” OW2 beyond new heroes and maps
2024-06-29 21:21