[Bitop Review] VanEck files with the SEC for a Solana ETF! SOL jumps 8% to break $150, is the era of crypto ETFs here?

Around 9 PM last night (June 27), ETF issuer VanEck confirmed on Twitter that it has filed an application with the US SEC for the Solana Fund (VANECK SOLANA TRUST). The fund will issue common shares with voting rights and is expected to trade on the Cboe BZX exchange. Specific details will be disclosed in the issuance notice.

Why is VanEck filing for Solana ETF?

VanEck’s decision to file for a Solana ETF is rooted in the unique capabilities of Solana as a blockchain platform. Solana is an open source blockchain designed to handle a wide range of applications, including payments, trading, gaming, and social interactions. Unlike other blockchains, Solana operates as a single global state machine, eliminating the need for sharding or layer-2 solutions.

This approach delivers a powerful combination of scalability, speed, and low cost, potentially offering a superior user experience for numerous use cases. Solana’s ability to process thousands of transactions per second with minimal fees, coupled with its advanced security mechanisms combining Proof-of-History (PoH) and Proof-of-Stake (PoS), makes it a robust and accessible blockchain solution.

VanEck believes that this combination of high throughput, low fees, strong security, and an active community makes Solana an attractive choice for an ETF. This would provide investors with an opportunity to gain exposure to a diverse and innovative open-source ecosystem.

SOL Price Surges 8% on VanEck’s ETF Filing

Following the news of VanEck’s Solana ETF filing, the price of SOL (Solana) soared by 8%, breaking above the $150 mark. At the time of writing, SOL is trading around $148, up 8.5% in the past 24 hours.

Skepticism Surrounds VanEck’s Solana ETF Filing

Despite the initial price surge, VanEck’s Solana ETF filing has been met with skepticism from some industry experts.

Haseeb Qureshi, Partner at Dragonfly Capital:

l “ There’s no way this gets done; I suspect it’s buying goodwill and laying the groundwork to get the ball rolling.”

l “ But SEC has explicitly stated they believe SOL is a security. This administration will not walk this back.”

James Seyffart, ETF Expert at Bloomberg Intelligence:

l “ First SOL ETF filing in the U.S. Will be interesting to see if other issuers immediately follow suit. Early thoughts are that this only has a shot to launch sometime in 2025 if we have a new admin in the White House and SEC. Even then not guaranteed.”

Evgeny Gaevoy, Founder of Crypto Market Maker Wintermute:

l “ There is near zero chance SOL ETF will get approved this year (wishful thinking that it will be somehow a priority for Trump admin is rather silly) “

l “ Once you see how little inflows there will be into ETH ETFs (this year), it will be clear how even less flows SOL ETFs would get even if its approved”

Political Will Could Make It Happen

VanEck’s filing for a Solana ETF in the US marks a significant step in the digital asset landscape. Solana’s combination of scalability, speed, low cost, strong security, and decentralization makes it a compelling candidate for an ETF. Bloomberg analyst Eric Balchunas admits that his initial reaction was, “Oh, this will never be approved because there are no Solana futures.” However, he adds, “If there’s a change in US presidency, anything is possible.”

Regardless of the outcome of this application or whether other issuers follow suit, the reality is that Solana currently lacks an ETF and there’s no guaranteed influx of capital into the market. The Bitop Market Analysis Team urges readers to exercise caution when investing and avoid panic buying based on specific news to prevent potential losses.

Disclaimer: None of the information contained here constitutes an offer (or solicitation of an offer) to buy or sell any currency, product or financial instrument, to make any investment, or to participate in any particular trading strategy.