SEC Leadership Changes May Pave the Way for Solana ETF

Bloomberg ETF analyst Eric Balchunas suggests that a spot Solana (SOL) exchange-traded fund (ETF) in the United States could become a reality if there are changes in the administration and leadership of the Securities and Exchange Commission (SEC). On June 27, ETF issuer VanEck unexpectedly filed for a spot Solana ETF with the SEC. The new fund, named the VanEck Solana Trust, aims to leverage Solana’s decentralized features, high utility, and economic viability.

SEC’s Current Stance on Solana ETF

Balchunas expresses skepticism about the approval of such ETFs. His initial reaction is that the SEC would likely reject the spot Solana ETF filing. Unlike Bitcoin (BTC) and Ethereum (ETH), which had futures products approved before spot ETFs, there are currently no Solana futures ETFs available in the U.S. The SEC’s concern has been potential fraud and market manipulation affecting spot ETF products.

Balchunas speculates that a change in U.S. President and SEC leadership in 2025 could alter this stance. He suggests, “Imagine someone like Hester Peirce managing the SEC.”

Industry Leaders’ Support

Jake Chervinsky, Chief Legal Officer at Variant Fund, agrees with Balchunas. He points out that Peirce’s interpretation of the Securities Exchange Act might be more favorable for spot Solana ETF applicants. Currently, SEC Chair Gary Gensler classifies the SOL token as a security in lawsuits against Binance and Coinbase.

Debate Over Solana ETF Success

Adam Cochran, a partner at venture capital firm Cinneamhain Ventures, believes VanEck should address SOL’s alleged security status before filing for a spot Solana ETF.

While opinions on this matter vary, Bitcoin advocate Anthony Pompliano positively acknowledges VanEck’s Solana ETF application, stating that it further demonstrates the integration of altcoins into Wall Street. However, some remain skeptical. Evgeny Gaevoy, CEO of cryptocurrency trading firm Wintermute, predicts limited inflows into the soon-to-be-launched spot Ether ETFs, suggesting even fewer inflows for a spot Solana ETF. “Adoption takes time,” Gaevoy comments.

Sentiment: Positive