Support for a Solana-based exchange-traded fund (ETF) continues to grow in the United States as a prominent crypto asset manager officially submitted its proposal to the Securities and Exchange Commission (SEC) on December 3.
A detailed 112-page filing outlines the significance of Solana, one of the leading blockchain platforms globally. The proposal seeks approval to convert an existing Solana Trust into a spot ETF, paving the way for greater accessibility to Solana investments for U.S. investors.
The filing states: “Pursuant to the provisions of Section 19(b)(1) of the Securities Exchange Act of 1934, as amended, and Rule 19b-4 thereunder, NYSE Arca proposes to list and trade shares of the Solana Trust under NYSE Arca Rule 8.201-E.”
The Solana Trust, initially launched in 2021, holds significant assets under management (AUM) and serves a substantial investor base. If approved, the fund would represent a significant milestone for Solana as it transitions into a spot ETF.
The submission aligns with a broader industry push for crypto ETFs. Other asset managers, including 21Shares, VanEck, Bitwise, and Canary Capital, have previously proposed similar Solana-based ETFs following the success of Bitcoin and Ethereum ETFs earlier this year.
Solana has emerged as a leading blockchain platform, noted for its scalability, speed, and robust ecosystem. With over $134 million in assets under management, the Solana Trust accounts for approximately 0.1% of Solana’s market capitalization. The ETF proposal highlights the growing demand for Solana among U.S. investors, who represent a significant portion of its adoption.
The proposed ETF seeks to capitalize on Solana’s recent market growth. Over the past month, Solana’s price surged 44%, reaching $235. However, it faced competition from Ripple’s XRP, which saw an 81% increase in value in just a week.
If approved, the Solana ETF would mark a major milestone for the blockchain industry, making it easier for retail and institutional investors to access Solana through regulated channels. With the proposal under review, the crypto industry is optimistic that the SEC will further expand its acceptance of innovative blockchain-based financial products.
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