BREAKING: 21Shares Joins Race To Launch Spot Solana ETF

As an analyst with a background in cryptocurrency and experience in following market trends, I believe the recent filings by 21Shares and VanEck for Solana ETFs mark a promising development for the Solana ecosystem. The growing interest in Solana as a potential competitor to Ethereum’s anticipated ETF market underscores the increasing recognition of Solana’s potential value in the digital asset space.

A noteworthy advancement occurred in the crypto sphere when 21Shares, an investment company, submitted an S-1 registration form to the United States Securities and Exchange Commission (SEC) on Friday, aiming to launch a Solana Spot ETF.

The 21Shares app has filed a proposal analogous to VanEck’s Bitcoin ETF application submitted last Thursday. This move signifies increasing curiosity towards Solana as a prospective rival in the upcoming Ethereum ETF market, slated to commence trading in July.

21Shares Introduces Core Solana ETF

The 21Shares Core Solana Fund, as outlined in the proposal, aims to issue tradable shares representing beneficial ownership, which will be listed on the Cboe BZX Exchange.

The goal of this ETF is to mirror the returns of SOL, offering investors an effortless and affordable avenue to acquire exposure to this digital asset without needing to purchase it directly. The ETF will maintain a portfolio consisting primarily of SOL, with share values being adjusted daily according to the index.

As a crypto investor, I would explain it this way: I’m investing in a trust called the “Trust.” The trust is being managed by 21Shares. Delaware Trust Company is the trustee in charge of overseeing the trust’s operations. My SOL coins will be safeguarded by Coinbase Custody Trust Company, who serves as the custodian for my SOL holdings within the trust.

SOL Price Consolidates After Initial ETF Announcement

The SEC’s endorsement of a Solana ETF is contingent upon regulatory approval and adherence to requirements. However, these filings underscore the growing interest in investing in Solana’s digital assets through such financial instruments.

If given the green light, these ETFs will offer investors an easy and regulated route to invest in Solana’s prospective development and success.

Significantly, the filing of proposals for a potential Dogecoin ETF by major asset managers could mark a new trend in Securities and Exchange Commission (SEC) filings, similar to what occurred with Bitcoin and Ethereum ETF applications.

As an analyst, I’ve observed that Solana (SOL) did not exhibit the same price reaction following VanEck’s filing for a Solana ETF as it did on Thursday. Instead of soaring to nearly $150 after dipping to around $121 earlier in the week, SOL is currently trading at $142 due to a modest 4% correction experienced over the previous day.

BREAKING: 21Shares Joins Race To Launch Spot Solana ETF

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2024-06-28 20:10