VanEck Advisor Election Result Holds Key to Solana ETF Launch

Key Takeaways:
VanEck and 21Shares have submitted applications to the SEC for a spot Solana ETF.
The approval of the Solana ETF is dependent on the outcome of the US Presidential election.
Clarity in regulations is needed for future Solana ETF approvals.


The Launch of the Solana ETF Relies on the Election Result
Asset managers VanEck and 21Shares have officially filed S-1 applications with the US Securities and Exchange Commission (SEC) for the first-ever spot Solana ETF. This follows the successful launch of the Bitcoin ETF in January and the upcoming trading of Ethereum ETFs.
The US Presidential election will play a crucial role in determining the launch of the Solana ETF. Matthew Sigel, Head of Digital Asset Research at VanEck, highlights that the approval and potential trading of the Solana ETF heavily depend on the election outcome. This is because different approaches to cryptocurrency regulation and potential changes in SEC leadership could significantly impact the approval process.
Sigel emphasizes in a recent Bloomberg interview that the approval and potential trading of the Solana ETF are heavily influenced by the election outcome.


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This is due to the significant differences in approaches to cryptocurrency regulation between political parties and the potential change in SEC leadership.
The Biden administration has generally taken a more cautious and regulatory approach towards cryptocurrencies, emphasizing the need for greater oversight and consumer protection. Former President Trump initially held anti-crypto views but later changed his stance and became more supportive of the industry compared to the Biden administration.
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Sigel points out the growing influence of crypto voters in the election and the evolving regulatory environment in Washington.
Approval of the Solana ETF Is Assured Regardless of the Election Outcome
Cryptocurrencies have become a significant topic in the race for the White House. The Biden administration has a different view on digital asset regulation compared to former President Donald Trump, who is considered crypto-friendly.
However, there are still obstacles to overcome. One of the main challenges is the absence of a regulated market for trading Solana futures. Sigel attributes this to SEC Chairman Gary Gensler’s influence, referring to it as the “Gensler Psyop.” He notes that this market condition has persisted since Gensler assumed power. Despite this hurdle, Sigel remains confident about the approval of Solana ETFs even if Biden wins the election. However, he emphasizes that the outcome also depends on who holds the position of SEC chair.
Sigel urges the SEC to adopt a fair and timely approval process. He argues that if Ethereum-based products are allowed to trade, it would solidify Ethereum’s status as a commodity, and the same principle should apply to Solana.
Alex Thorn, Head of Research at Galaxy Digital, adds another perspective to the discussion. He analyzes the spot Solana ETP filings by VanEck and 21Shares. Thorn discusses the recently passed FIT21 Act, which clarifies the regulatory boundaries between the SEC and the Commodity Futures Trading Commission (CFTC). This legislation could play a crucial role in the future by providing clarity on whether digital assets should be treated as commodities or securities. Thorn suggests that such clarity could improve the chances of ETF approvals in the future.
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As of the latest market update, Solana’s native token SOL is trading at $133, reflecting an 8.3% drop in the last 24 hours.


SOL/USD Daily Price Chart. Source: TradingView