Bloomberg analysts: Solana ETF only possible after SEC change.

The launch of a Solana-based ETF is at the center of a debate related to cryptocurrency market regulation in the United States. The CBOE (Chicago Board Options Exchange) submitted a formal request, known as 19b-4, to initiate a Solana ETF on July 8, 2024. However, the SEC (Securities and Exchange Commission) has not published the request on its website, effectively halting the approval process.

Eric Balchunas, an ETF analyst for Bloomberg, expressed skepticism about the short-term approval of the Solana ETF. Balchunas explained that the SEC has withdrawn all 19b-4 requests related to Solana ETFs. The S-1 requests from potential issuers remain active, but approval prospects seem slim without a leadership change at the SEC.

Balchunas believes that Donald Trump's election as President of the United States could increase the chances of approval for the Solana ETF. Trump has promised to remove Gary Gensler from the position of SEC Chair, a move that could lead to a change in the agency's approach.

Nate Geraci of the ETF Store observed that approving a Solana ETF would require a clear regulatory framework that definitively categorizes which crypto assets are considered securities and which are commodities. He concluded that, under the current administration, it is unlikely that a Solana ETF will be approved.

Outside the United States, the Brazilian regulator CVM (Comiss?o de Valores Mobiliários) has approved the second Solana ETF in the world. This ETF will be offered by Hashdex, a Brazilian asset manager, in collaboration with the investment bank BTG Pactual.