Approval of Solana ETF on hold due to SEC's postponement of deliberation on proposals
Solana ETFs: SEC Delays Decision, But Approval Likely by Mid-October
The Securities and Exchange Commission (SEC) has extended the deadline for its decision on multiple Solana Exchange-Traded Funds (ETFs) to October 16, 2025. The extension is part of a broader pattern of cautious, extended reviews for crypto-related ETFs by the SEC, as they conduct a thorough assessment of market integrity, regulatory compliance, and investor protection concerns.
Despite the delay, industry experts and analysts remain optimistic about the eventual approval of Solana ETFs. Bloomberg Intelligence forecasts that approval could be possible as early as mid-October 2025. This optimism stems from the fact that some Solana ETFs have already been launched via alternative listing mechanisms, setting precedents for potential approval.
Several major firms, including Bitwise, 21Shares, VanEck, Grayscale, and Canary, have submitted spot Solana ETF proposals. Many of these proposals have been amended to better meet SEC transparency and compliance expectations. The SEC invoked its full 60-day extension authority after previously delaying the decision and initiating formal proceedings in May 2025.
The odds of Solana ETF approval have been raised to 95%, according to Bloomberg ETF analysts James Seyffart and Eric Balchunas. This optimism is supported by heightened engagement between the commission and issuers, including recent amendments.
In other news, Solana treasury company Upexi has appointed Arthur Hayes to its advisory committee. Hayes is a well-known figure in the crypto industry, previously serving as the CEO of BitMEX, a major cryptocurrency derivatives platform.
It's worth noting that there are rumors about a potential BlackRock XRP ETF, but the veracity of these rumors is not stated.
In summary, the SEC's delay in decision-making is due to the need for a thorough assessment of regulatory compliance, market integrity, and investor protection concerns raised by Solana ETF proposals. The current deadline for a decision is October 16, 2025, and industry experts predict that approval is probable by mid-October 2025, contingent on satisfactory resolution of SEC concerns. This cautious but progressive approach suggests the SEC aims to balance facilitating innovative crypto investment products with ensuring investor protection and market integrity before granting approval.
- The delay in the SEC's decision on Solana ETFs has not dampened the enthusiasm for cryptocurrency investing, particularly in the tokens like Tron, Litecoin, and XRP.
- The approval of Solana ETFs could potentially Phase in a new era of decentralized finance (DeFi) and trading on decentralized exchanges (DEX).
- If Solana ETFs receive approval, it could set a significant precedent for the creation of ETFs based on other popular cryptocurrencies, such as Litecoin, XRP, and even less conventional ones like Dogecoin.
- The rising anticipation for the approval of Solana ETFs has encouraged firms in the technology sector, like BlackRock, to consider launching Ethereum, Litecoin, and even Ripple-based ETFs.
- The extended review period for Solana ETFs highlights the SEC's commitment to ensuring the overall health of the cryptocurrency market, taking into account concerns related to investor protection, regulatory compliance, and market integrity, which all apply to other promising crypto technologies, such as Cardano, Polkadot, and even emerging projects like Solana's competitor, Solana.
