Grayscale Investments has officially filed for a Solana SOL exchange-traded fund (ETF) with the New York Stock Exchange, according to a Tuesday filing. Just weeks after the NYSE received SEC approval to open options trading on Bitcoin ETFs, Grayscale is hoping to bring the first Solana ETF to the markets.
JUST IN: Grayscale files for Solana $SOL ETF with NYSE.
— Watcher.Guru (@WatcherGuru) December 3, 2024
Cryptocurrency-based ETFs (Exchange Traded Funds) have taken the crypto community by storm in 2024. The year began with the SEC Approving 11 spot Bitcoin (BTC) ETFs. The launch triggered a market rally, and BTC hit a new all-time high in March. The BTC ETFs foreshadowed the launch of Ethereum (ETH) ETFs a few months later. The crypto community now braces itself for other altcoin-based ETFs, and Solana (SOL) appears to be next in line.
Grayscale’s Bitcoin Trust has been one of the most successful BTC ETFs since its launch in January. With the recent growth of the Solana ecosystem and its native cryptocurrency, firms are scrambling to attach a futures ETF to the token. With XRP ETFs also potentially in the mix for approval, 2025 could be an even bigger year for crypto investing than 2024.
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The Grayscale Solana Trust is the largest trust of its kind in the world. The Trust is the largest OL investment fund by assets under management as of Tuesday. The Trust has approximately $134.2 million in assets under management. For context, this represents 0.1% of all SOL in circulation. According to Grayscale’s filing, the firm believes that allowing Shares of the trust to list and trade on the Exchange as an ETP (i.e., converting the Trust to a spot SOL ETP) would provide other investors with a safe and secure way to invest in SOL on a regulated national securities exchange.
Furthermore, with recent shakeups in the SEC, the Solana ETFs are hoping to get quicker approval than their predecessors. A potential approval would see the United States get its third crypto-based ETF in 2024. Bitcoin was the first, gaining regulatory approval in January. Months later, Ethereum followed suit. Although BTC proved immensely successful, ETH has yet to mirror the same performance.