🌎 Solana ETF Approval Faces Delays Amid US Administration Shift

U.S. Solana ETFs Face Approval Delays Amid Federal Administration Transition

The approval process for U.S. Solana exchange-traded funds (ETFs) is likely to experience delays due to the transition in federal administration and agency leadership. According to sources, some spot Solana ETF issuers have been informed of upcoming roadblocks by the Securities and Exchange Commission (SEC) staff.

The SEC reportedly notified these issuers that new cryptocurrency ETF bids would not be considered until January 2025, effectively putting spot Solana funds in limbo. Currently, five firms – including VanEck, 21Shares, Bitwise, Canary Capital, and Grayscale – have submitted applications for spot Solana ETFs.

Delays Despite Progress

These reports of delays for 19b-4 filings, or proposals for rule changes, come despite supposed progress with spot Solana funds in late November. At the time, firms pointed to feedback from the SEC and dialogue with agency staffers about advancing Form S-1 documents, a formality in securities registration for ETFs.

This development may impact the plans of issuers like WisdomTree, which have sought to expand their existing crypto product suite, encouraged by the success of spot Bitcoin ETFs and strides made by spot Ethereum ETFs in recent weeks.

Spot Bitcoin ETFs Success

Spot Bitcoin ETFs have been a notable success story of the year, garnering $109 billion in assets since January and overtaking dormant holdings attributed to Bitcoin creator Satoshi Nakamoto. Issuers have also filed paperwork to list spot ETFs, as Ripple’s business looks stronger with stablecoin plans amid shifting policy climates and a new White House regime under pro-crypto President-elect Donald Trump.

However, Wall Street leaders like BlackRock and Fidelity have deferred from joining the race to list crypto ETFs outside Bitcoin and Ethereum.