With recent changes in SEC leadership and a surge in crypto-ETF applications, Bloomberg experts predict a high likelihood of ETF approvals for coins like SOL.
Context on the ETF Initiative
Following the removal of SEC leadership from Gensler, asset managers and ETF sponsors are actively filing applications for various altcoin ETFs. Among these are applications related to Canary and SOL Coins.
Application and Review Process
Many ETF decisions are anticipated in November. Bloomberg analysts see a greater than 50% probability of SOL Coin ETFs gaining approval this year. Recently, the Canary Solana Trust application was accepted by the SEC for review, submitted on Cboe BZX Exchange. Canary Capital Group LLC will be the fund’s issuer.
Risks and Considerations for SOL Coin
The SOL Coin ETF application outlines three risks. Firstly, PoH technology is not widely adopted, posing potential systemic risks. Secondly, technical glitches and security vulnerabilities could impact network reliability. Thirdly, past outages on the Solana network have caused issues, occurring once or twice annually.
The potential approval of SOL and other altcoin ETFs adds significant importance to the cryptocurrency market and could shift its dynamics in the near future.
