Source: CoinWorld
Author: Web3 Sniffing Observation
Spot ETF is the legal entry point for traditional financial capital to enter the world of crypto assets. Since the Bitcoin spot ETF was approved in the United States in January this year, crypto assets have ushered in a rare wave of rising prices. Not long ago, the Ethereum spot ETF was also approved in the United States. After Bitcoin and Ethereum, who will be the next ETF asset? This has aroused heated discussions in the market, among which Solana has the highest voice. But surprisingly, Brazil has taken a step ahead of the United States and officially approved the world's first Solana spot ETF .
1. Influenced by the positive news of Brazil launching Sol ETF , Sol asset price rose by 6.55% in a short period of time
On August 8 , the Brazilian Securities and Exchange Commission (CVM) officially approved the world's first Solana spot ETF . It is reported that the investment product is provided by QR , which launched Bitcoin and Ethereum ETFs , and will be managed by Vortx . Currently, the ETF is still in the pre-operational stage and still needs to be approved by B3 for regulatory reasons. It is expected to be launched within 90 days.
Influenced by this news and the recent market rebound, SOL has risen above $ 150 . According to the current market conditions on Bijie.com, SOL is currently quoted at $ 154.26 , with a daily increase of 6.55% .
It is understood that Brazilian asset management company QR Asset will issue the ETF , while Vortx , a local fintech company focused on the capital market, will serve as its manager. The CVM -approved Solana ETF will use the CME CF Solana Dollar Reference Rate F as a reference price, which is intended to provide a reliable and transparent measure of the value of Solana ( SOL ) against the U.S. dollar ( USD ).
This is the first Solana spot ETF product in Brazil and one of the first Solana exchange-traded products (ETPs) in the world. Currently, the only Solana ETPs trading in the world are 21Shares Solana ETP (ASOL) traded on the SIX Swiss Exchange in Switzerland, and CoinShares Physical Solana and ETC Group Physical Solana traded on Deutsche Börse Xetra in Germany.
Developed by the Chicago Mercantile Exchange (CME) in partnership with Crypto Facilities (CF) , the index aims to provide standardized and accurate quotes of Solana’s price based on trading data from major cryptocurrency exchanges.
2. Brazil launches the first Solana spot ETF , which may directly affect Canada and other countries
The launch of the Solana ETF in Brazil has attracted widespread attention in the international crypto market and may further increase institutional interest and investment in Solana . This move follows the launch of spot Bitcoin and Ethereum ETFs in the United States, bringing new momentum to the global cryptocurrency market.
Investment management company VanEck is the first company to file a Solana spot ETF application in the United States. However, unlike Brazil's approval of the Solana ETF , VanEck CEO Jan van Eck does not expect the application to be approved in the short term due to the current policy of the U.S. Securities and Exchange Commission (SEC) . Jan van Ec mentioned that the approval of the Solana spot ETF may depend on changes in the U.S. political administration, especially the possible election of a president who is more supportive of cryptocurrencies.
Companies such as 21Shares have also submitted applications for Solana spot ETFs . In addition, in Canada, 3iQ is seeking to launch a similar product on the Toronto Stock Exchange, which may affect future US approval.
ETFs are often favored by institutional investors due to their regulated nature, ease of trading, and ability to be easily integrated into existing investment strategies. The inflow of institutional capital is expected to improve market stability and liquidity, and as demand increases, Solana 's price may also rise accordingly.
The approval of the Solana ETF will enhance Solana 's credibility and legitimacy in the traditional financial world. Similar approvals of Bitcoin and Ethereum ETFs may also encourage conservative investors to include them in their portfolios and motivate other blockchain projects to follow similar regulatory paths, driving industry innovation and adoption.
For the broader cryptocurrency market, the approval of the Solana ETF could set a precedent for other cryptocurrency ETFs , sparking the growth of more cryptocurrency-based ETFs . Competition between blockchain platforms will intensify as projects strive to meet the expectations of institutional investors, driving technological advancement, scalability, security, and user experience.
3. The US's attitude towards Sol ETF is not exactly the same as Brazil's, and the market outlook still needs to wait and see
Brazil is the largest country in South America, with a population of over 214 million, making it the fifth largest country in the world by area and sixth by population. Brazil is widely considered one of the most cryptocurrency-friendly countries in the world, with regulations and policies designed to promote citizen adoption of cryptocurrencies and other digital assets. As previously reported, Brazil is one of the top five countries in the world with the most cryptocurrency investors, with more than 10 million cryptocurrency investors, accounting for about 5% of its population, second only to India, the United States, Russia and Nigeria.
Brazil’s market is also fertile ground for ETFs . Between 2021 and 2022 , Brazil listed a Bitcoin ETF and an Ethereum ETF , and began offering the BlackRock iShares Bitcoin Trust ETF (IBIT) in March 2024 .
Although Brazil has officially approved the Solana spot ETF , there are still many challenges in allowing it to be listed by the U.S. Securities and Exchange Commission ( SEC ).
Previously, Solana was identified as a security by the U.S. Securities and Exchange Commission ( SEC ) due to its insufficient decentralization. However, the SEC has recently removed Solana ( SOL ) from its securities list, which means that U.S. cryptocurrency regulation may change and the SEC may relax its crackdown on cryptocurrencies. This move is interpreted as paving the way for the launch of the Solana ETF in the future.
The SEC 's approval of Bitcoin and Ethereum ETFs indicates a gradual shift in regulators' attitudes toward cryptocurrencies, which could open the door for Solana to gain similar recognition and legitimacy. Bitcoin and Ethereum have a hard power in the cryptocurrency market that other projects cannot replicate, which is gradually built up through the proof-of-work mechanism ( PoW ) by miners around the world.
However, if the SEC approves the Solana spot ETF , it may face the dilemma of being unable to reject thousands of other public chain applications, leading to a proliferation of cryptocurrency ETFs in the market. Whether the regulatory authorities can cope with it is also a big question. Therefore, it may take a long time to plan before the SEC and other institutions find an executable solution.
