1. New Solana-Based ETF
2. U.S. Market Situation
3. Future Prospects

Brazil's financial market continues to evolve as its securities regulator, Comissão de Valores Mobiliários (CVM), has approved its second Solana exchange-traded fund (ETF) this week.

New Solana-Based ETF

The newly approved Solana ETF will be managed by Hashdex, a well-established asset manager in Brazil with $962 million in assets under management (AUM). The fund is currently in its pre-operational phase and represents another milestone in Brazil's embrace of digital assets. Hashdex, known for its previous launches, including ETFs based on Nasdaq Crypto Index, Bitcoin, and Ethereum, is partnering with local investment bank BTG Pactual for this venture.

U.S. Market Situation

In contrast, the path to approving a Solana ETF in the United States remains filled with obstacles. The U.S. Securities and Exchange Commission (SEC) rejected the 19b-4 filings for Solana ETFs submitted by VanEck and 21Shares. This rejection led to the removal of these filings from the Cboe BZX Exchange. Solana is currently classified as a security by the SEC, complicating its approval process for an ETF in the U.S. However, Matthew Sigel, VanEck’s Head of Digital Assets Research, expressed a belief that Solana should be classified as a commodity. Informed by evolving legal views, this perspective highlights the differentiation between how crypto assets function in primary and secondary markets. Bloomberg ETF analyst Eric Balchunas suggested that the chances of approval in 2024 are slim, with the likelihood of a breakthrough in 2025 also being low if Kamala Harris wins the US Presidential election.

Future Prospects

The future prospects for Solana ETF approval remain uncertain, especially against the backdrop of political changes in the U.S. Eric Balchunas noted that without a change in SEC leadership, the chances of approval are akin to a snowball's chance in hell.

In conclusion, despite progress in Brazil, the path to Solana ETF approval in the U.S. remains problematic. The question of whether regulatory approaches will change in the future remains open.