After Bitcoin (BTC) and Ethereum (ETH), Solana (SOL) based exchange-traded funds (ETF) are under the limelight. SOL-based ETFs were just approved by Brazil’s Securities and Exchange Commission (CVM).
Solana ETF Approval: Significance, Market Impact, and Current Performance
Approval and Pre-Operational Phase
According to the agency, the ETF is still in its pre-operational phase. It must obtain approval from B3, the Brazilian stock exchange. However, reports indicate that trading for the Solana ETF will begin on the platform in about ninety days.
Significance of the Solana ETF Approval
The manager and chief investment officer of QR Asset, Theodoro Fleury, discussed the significance of the approval and said:
“This ETF reaffirms our commitment to offer quality and diversification to Brazilian investors. We are proud to be a global pioneer in this segment, consolidating Brazil’s position as a leading market for regulated investments in crypto assets.”
First-of-Its-Kind Product
Once this hits the Brazilian markets, it will emerge as the first-of-its-kind product in the region. The pricing benchmark for the recently approved Solana ETF is the CME CF Solana Dollar Reference Rate.
Pricing Benchmark Details
This rate was created by collaborating with Crypto Facilities (CF) and the Chicago Mercantile Exchange (CME). It aggregates transaction data from significant cryptocurrency exchanges to produce a consistent and dependable US dollar valuation of SOL.
Also Read: Solana Hits All-Time High Against Ethereum as SOL Eyes Rebound to $200
How is Solana (SOL) Faring?
Solana was on a recovery spree following its recent plunge with the rest of the cryptocurrency market. The altcoin recorded a much bigger increase than its counterparts. The asset rose from a low of $110 to a high of $156.
Also Read: Solana: SOL Up Nearly 40% From Post-Crash Lows as Meme Coins Surge
But, at press time, SOL was enduring a slight setback. The asset was trading at $153, with a 0.27% drop over the past 24 hours. Brazil’s latest move has not impacted the price of SOL.