Solana ETF is gaining more support to be released in the United States after Grayscale, following others’ moves to be proposed to the commission.
Grayscale Investments, one of the biggest crypto-product-related asset managers, proposed the Solana-based exchange-traded fund (ETF) to the Securities and Exchange Commission (SEC) on Dec. 03.
According to the 19b-4 filings with 112 pages, Grayscale is concerned about the importance of Solana, which is considered one of the biggest cryptocurrency and blockchain companies in the world.
“Pursuant to the provisions of Section 19(b)(1) of the Securities Exchange Act of 1934, as amended (the “Act” or “’34 Act”)1 and Rule 19b-4 thereunder,2 NYSE Arca, Inc. (“NYSE Arca” or “Exchange”), proposes to list and trade shares of the following under NYSE Arca Rule 8.201-E: Grayscale Solana Trust (SOL) (the “Trust”).3,” the document mentioned.
The company based in Connecticut, like any other crypto, were actually released the Grayscale Solana Trust (GSOL) in 2021. If this proposal is accepted, they will be allowed to convert it into Solana spot ETF.
This move follows the footsteps of 21Shares, which has already proposed the same product to the commission since June. VanEck, Bitwise, and Canary Capital were also among the earlier asset managers who proposed the product after the success of the Bitcoin (BTC) and Ethereum (ETH) funds this year.
Before Grayscale Solana ETF
Grayscale, as the pioneer for the crypto-trust product, is claimed to be the world’s largest crypto fund manager, including for Solana-based investment. According to the fund statement, the trust had approximately $134.2 million in assets under management (AUM), or equivalent to 0.1% of Solana.
They also noted that the large number of assets in Solana is accounted for by a quarter of the million investors in the United States. If the commission accepts it, Grayscale will be the first Solana ETF issuer to have already managed the asset for the next Solana spot ETF.
In the past month, Solana’s (SOL) price in the crypto market has grown 44% to $235, but the market cap was flipped by Ripple’s XRP after they gained an 81% increase in just a week.
Read the full article here