REX Shares, in collaboration with Osprey Funds, has filed a proposal with the SEC for the approval of staked Solana and Ethereum ETFs amid ongoing regulatory scrutiny.
Goals of REX Shares and Osprey Funds
REX Shares and Osprey Funds aim to bring staked Solana and Ethereum ETFs to market, promising investors exposure to these assets while addressing the SEC's regulatory requirements.
Legal and Structural Aspects
Bloomberg Intelligence's James Seyffart noted the use of various legal and regulatory workarounds to expedite the process. He remarked that there are 'a bunch of clever legal and regulatory workarounds' being implemented, pointing to REX's use of a 1940 Act open-end fund with an offshore subsidiary as an attempt to bypass traditional ETF registration hurdles.
Potential Market Implications
Analysts predict that the approval of these ETFs may unlock significant liquidity in the cryptocurrency market, positively impacting the Solana and Ethereum networks. Ongoing inquiries from the SEC regarding legal, structural, and financial aspects continue.
Positive SEC outcomes could significantly influence market dynamics and increase institutional participation, further promoting technological integration within financial systems.
