The VanEck and 21Shares Solana ETF Filings Disappear from CBOE Website
VanEck and 21Shares 19b-4 filings for Solana ETF have been removed from the CBOE website, leading to speculation about whether the application for these products has been withdrawn. Despite the removal of the filings, Matthew Sigel, the head of digital assets research at VanEck, took to Twitter to reassure followers that the ETF application is still active, stating, “ours remains in play.”
The US Securities and Exchange Commission (SEC) has set a deadline for either approving or rejecting the applications by March 2025. However, 21Shares did not comment on the status of its Solana ETF filing, leaving investors and experts in speculation.
Spot bitcoin and ethereum ETF Approvals Fuel Optimism for Solana
Following the SEC’s approval of spot bitcoin and ethereum ETFs this year, the industry has been hopeful about the potential approval of a Solana ETF. Despite mixed sentiments among experts, the anticipation around a Solana ETF approval remains high.
What Sets Solana Apart in the Blockchain world?
Solana is a blockchain platform uniquely designed for decentralized applications (dApps) and cryptocurrency transactions, known for its remarkable speed and scalability. With the ability to process over 65,000 transactions per second at minimal fees using its Proof of History (PoH) consensus mechanism coupled with Proof of Stake (PoS), Solana has emerged as a strong competitor to ethereum, swiftly attracting developers and projects to its ecosystem.
If approved, a spot Solana ETF in the US market could open the doors to broader acceptance of Solana among traditional financial institutions, potentially driving institutional interest and adoption in the cryptocurrency. This recent development underscores Solana‘s growing significance in the digital asset space.
The Challenge of Network Instability
One key challenge that regulators may consider before approving a spot Solana ETF is the network’s history of downtime. Reports suggest that the Solana network faced a major outage in February, with several other interruptions since its inception. These network outages have often had a negative impact on the Solana price, raising concerns among investors and highlighting the relative immaturity of the network.
Solana‘s Price Performance and Outlook
As of August 19, 2024, Solana is trading at $147.82, having achieved an all-time high of $259.52 on November 6, 2021. Analysts, including Ryan Lee from Bitget Research, believe that SOL could become the third major crypto asset after BTC and ETH if it secures its own ETF, showcasing the potential growth and significance of Solana in the evolving digital asset landscape.