Seven prominent financial institutions, including Fidelity and Grayscale, have submitted S-1 registration forms to the U.S. Securities and Exchange Commission (SEC) seeking approval to launch spot Solana exchange-traded funds (ETFs).
A defining feature highlighted across these filings is the integration of staking rewards, a novel element not present in previously approved Bitcoin ETFs. This staking component is seen as a potential differentiator that could attract significant institutional interest.
ETF analyst James Seyffart emphasized that the inclusion of staking introduces new regulatory complexities compared to the Bitcoin ETF approvals. He noted that iterative discussions between the issuers and the SEC will be necessary to navigate these uncharted waters.
Fidelity’s filing marks its first Solana Exchange-Traded Product (ETP), reflecting the firm’s confidence in Solana’s ecosystem and its potential appeal to both retail and institutional investors. Concurrently, Grayscale disclosed a proposed management fee of 2.5% for its Solana Trust, aligning with industry standards for actively managed crypto funds.
Market observers suggest that approvals for these Solana ETFs could potentially be secured within the next two to four months. Such approvals are anticipated to catalyze significant market activity, potentially heralding an ‘altcoin ETF summer’.