Bitwise Files Solana eTF as SOL nears record prices

Source: Shutterstock

Source: Shutterstock

Create an Account Save your articles.

Decrypt’s Art, Fashion, and entertainment hub.

Discover SCENE

Crypto asset manager Bitwise has filed for a Solana (SOL) exchange-traded fund (ETF)—just as the asset closes in on a new all-time high price.

If approved, the spot ETF would provide investors with exposure to SOL, which is the fourth largest cryptocurrency in terms of market capitalization.

CoinGecko reports that SOL has risen to just over $255 after reaching nearly $259 in the afternoon of Thursday. At today's peak, Solana was less than $1 away from its all-time high price set in 2021.

Bitwise must still file more forms with the Securities and Exchange Commission to obtain approval. Its Wednesday filing was with the state of Delaware—a very early step in the process.

ETFs, or exchange-traded funds, are investment vehicles which trade on stock markets and provide investors with exposure to an asset. The SEC approved Bitcoin ETFs back in January, resulting in a surge of institutional investment. The funds enable investors to purchase shares that track the cryptocurrency price.

Bitwise has already two other crypto-products trading on U.S. exchanges: Bitwise Bitcoin and Bitwise Ethereum.

SOL's native blockchain is used by developers to build decentralized applications (dapps), meme coins, games, and more. It is cheaper and faster than Ethereum.

Other asset managers, such as Canary Capital VanEck and 21Shares, have also filed for an SOL ETF. Solana ETFs were thought to be a more difficult proposition given the SEC's statements on Solana being an unregistered security, however the election of Donald Trump has significantly changed the calculus there.

See also  Swiss canton adopts legislation for Bitcoin mining using surplus energy

Gary Gensler, SEC Chair, announced that he is resigning on January 20, 2025. This will be the date when Trump starts his second term. Trump ran with a pro crypto platform, and will likely appoint someone more crypto-friendly as SEC Chair.

Optimism around Solana's ETF prospects has been cited as one of the key reasons why SOL has been surging since the election, with the price now up 30% in the last two weeks alone.

Andrew Hayward is the editor

Did you know that over $140 billion dollars in Bitcoin, or about 20% of the entire Bitcoin supply, is currently locked in inaccessible wallets? Or maybe you have lost access to your Bitcoin wallet? Don’t let those funds remain out of reach! AI Seed Phrase Finder is here to help you regain access effortlessly. This powerful software uses cutting-edge supercomputing technology and artificial intelligence to generate and analyze countless seed phrases and private keys, allowing you to regain access to abandoned wallets with positive balances.
leadzevs/ author of the article

LeadZevs (John Lesley) is an experienced trader specializing in technical analysis and forecasting of the cryptocurrency market. He has over 10 years of experience with a wide range of markets and assets - currencies, indices and commodities.John is the author of popular topics on major forums with millions of views and works as both an analyst and a professional trader for both clients and himself.

Crypto pump signals for Binance