TL;DR
Full Story
Solana ETF coming quickly? In all probability not.
However the market doesn’t care!
SOL jumped rattling close to 10% in an hour after VanEck utilized for a SOL ETF yesterday.
Now, right here’s why we’re being celebration poopers re: approval timeline…
The street to approval might be going to be an extended and arduous one, as a result of the method of launching a spot SOL alternate traded fund (ETF) — the place the acquisition of shares goes in direction of shopping for Solana, permitting traders to purchase crypto through the inventory market — is gradual.
We outlined it in depth right here, however right here’s a fast recap:
A SOL futures ETF usually must be launched first (permitting traders to wager on the longer term value of Solana, with out really shopping for it)
The SEC will wish to see a 12 months or extra of buying and selling happen there, to verify its freed from manipulation.
Then the ETF approval can happen.
Now, right here’s why that doesn’t matter to merchants proper now:
Just a few months again, most individuals anticipated the SEC to do their darnedest to ban the sale of SOL within the US (they nonetheless have a lawsuit out in opposition to Coinbase for promoting Solana).
So the concept that VanEck is prepared to file for a Solana ETF, and doubtlessly battle the SEC in courtroom to get it accepted represents a large temper change, and offers the market a brand new narrative to purchase in to.
It’s most likely going to be a drawn out course of, nevertheless it’s a very good first step!
