Since the US Securities and Exchange Commission (SEC) approved a spot Ethereum ETF last month, all eyes have been on what cryptocurrency could be next. Subsequently, the market has observed a host of potential candidates. However, Solana has emerged as a favorite, with one analyst noting that Donald Trump’s election could lead to a Spot SOL ETF.
Trump has consistently expressed his willingness to welcome an increased digital asset presence in the United States. That perspective has reversed the prominent trend of Capitol Hill standing against the industry’s progress in the country. Subsequently, his eventual ascension back to the White House could have massive ramifications for the regulation and prominence of the asset class in America.
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Could Donald Trump Open the Door to a Solana ETF?
The digital asset market has become one of the most important topics heading into the 2024 Presidential elections. With two crypto-based ETFs being approved this year, there is no denying the growing interest in the market from US investors. However, the current infrastructure may not support the continued establishment of crypto investment offerings.
Yet, since Ethereum followed Bitcoin as the most recent crypto ETF, all eyes have been on who is next. CNBC recently noted that Solana was a favorite, calling SOL one of the “big three of this cycle,” alongside BTC and ETH.
Conversely, the political landscape still hinders any steps forward to an eventual ETF for the asset. But amid the Solana hype, one analyst has predicted that Donald Trump’s re-election could lead to a SOL ETF.
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Speaking to CoinTelegraph, Bloomberg’s Erich Balchunas noted that Trump would be massively important for the industry. Specifically, Balchunas said, “If Trump wins, we could see other coins as ETFS, in my opinion.”
Although the application process would certainly be a long one, Solana does emerge as a favorite. The blockchain has become a widely adopted network among institutions and has continued to increase its presence through collaborations.
That effort could make it a natural fit to enter the ETF space. There are already high hopes for SOL’s performance over the next several months, but such a development would heavily increase its value. Currently, SOL is trading at $170, according to CoinMarketCap. Moreover, it has grown more than 9% over the last 30 days.