VanEck Bets on Solana ETF: How Close is Approval?

Matthew Sigel, head of research at VanEck, sees potential for a Solana ETF. He bases his optimism on the progress of Ethereum ETF applications. According to Sigel, the characteristics that make Ethereum a commodity could also apply to Solana.

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Obstacles and opportunities

A key difference between Solana and assets like Bitcoin and Ethereum is the lack of a regulated futures market for Solana. However, Sigel states that this need not be an insurmountable hurdle. He advocates for the SEC to take the same approach it took when approving Bitcoin spot ETFs earlier this year.

“If these products (ETH ETFs) are allowed to trade, it will confirm that Ethereum is a commodity. The same will be true for Solana,” Sigel told Bloomberg Crypto.

Political factor

Approval of a Solana ETF will depend heavily on the political winds in Washington. Sigel emphasizes the crucial role of SEC Chairman Gary Gensler: “It all depends on the SEC chairman. If Gensler is still the SEC chairman, it’s not going to happen unless he gets direction to treat this asset class differently.”

This view is shared by other analysts. Bloomberg’s Eric Balchunas links the likelihood of a Solana ETF approval to possible changes in the White House.

Solana’s potential

VanEck’s research points to Solana as a promising blockchain to gain market share. An approved Solana ETF could strengthen this position.

Sigel notes: “If the SEC adopts a first-come, first-served approach, the Solana ETF could hit the market before the Ethereum ETF goes live.”

Changing attitude

Despite the current uncertainty, there are signs of a shift in attitudes toward crypto in Washington, with several Democrats already voting for crypto-friendly legislation in what is seen as a step in the right direction.

As the crypto community awaits further developments, the question remains: will Solana be the next big thing in the world of crypto ETFs?

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