Bitwise Asset Management has filed to establish a Delaware trust for its proposed Solana ETF (exchange-traded fund). The move signals a renewed push to expand crypto offerings amid growing interest in blockchain-based assets.
This filing represents the preliminary steps necessary for launching the financial instrument. The general sentiment is that it could lead to a submission to the US Securities and Exchange Commission (SEC) for approval.
Bitwise Plans Strategic Expansion With Solana ETF
According to state department filings, the proposed Bitwise Solana ETF aims to track the price of Solana (SOL). This move comes as part of Bitwise’s broader expansion strategy and follows the firm’s remarkable 400% growth in assets under management (AUM) this year. Currently, Bitwise boasts at least $5 billion in assets under management (AUM).
Recent acquisitions, such as Ethereum staking service Attestant, and the success of its BITB spot Bitcoin ETF highlight its aggressive growth trajectory. Of note is that Bitwise’s BITB has attracted $2.3 billion in inflows. Meanwhile, its Ethereum ETF (ETHW) now records $373 million in positive flows.
BITB Cumulative Net Inflow. Source: SoSoValueDespite not yet disclosing a proposed ticker or exchange listing, Bitwise’s Solana ETF filing positions the firm alongside competitors like VanEck, 21Shares, and Canary Capital. These players have also sought to capitalize on Solana’s growing prominence, with VanEck likening Solana to commodities like Bitcoin and Ethereum in its filing.
“Language in the Ethereum ETF 19b4s, describing ETH as a commodity works for Solana as well,” said Mathew Siegel, VanEck head of research.
While the filing represents progress, the road to regulatory approval of a Solana ETF is fraught with challenges. The SEC has historically scrutinized crypto ETFs, citing concerns about market manipulation, custodial risks, and the classification of assets like Solana. Industry experts have expressed doubts about whether the SEC will greenlight a Solana ETF anytime soon, as seen in past filings where Solana’s status as a commodity has been questioned.
Moreover, forms for Solana ETFs were previously removed from the CBOE (Chicago Board Options Exchange) due to unresolved regulatory concerns. This turbulence plunged the odds of approval to near zero earlier this year, sparking skepticism among market participants.
Renewed Hope Under Trump Administration
However, the tide appears to be turning following Donald Trump’s re-election, which many in the industry view as a potential catalyst for the crypto sector. Trump’s administration has signaled a pro-crypto stance, with experts suggesting that his policies could create a more favorable regulatory environment for ETFs like the one Bitwise has proposed.
According to analysts, Trump’s commitment to fostering innovation and reducing bureaucratic barriers could allow the SEC to approve more crypto ETFs, including Solana-focused products.
“The greatest Solana win coming from the new Trump Presidency will be our long-awaited ETF in 2025 or 2026. No surprise, the incredible VanEck team will lead the charge here with support from 21Shares and Canary Capital,” said Dan Jablonski, head of growth at news and research firm Syndica.
If the Solana ETF gains approval, it could mark a significant shift in the US regulatory environment. More closely, it would enable the country to catch up with nations like Brazil, which launched a Solana ETF earlier this year. Such developments could help the US solidify its position as a leader in the global crypto market.
The prospective approval of a Solana ETF under the Trump administration would have profound implications for the US crypto market. It could spark greater institutional adoption, drive innovation, and position the country as a leader in blockchain technology.
Moreover, it would send a strong signal that the regulatory environment is becoming more accommodating to crypto, potentially attracting further investments, talent, and a possible XRP ETF, which Bitwise and Canary Capital are already front-running.
“In addition to crypto index fund uplistings from Grayscale & Bitwise, there are currently spot ETF filings for SOL, XRP, and HBAR. Guessing at least one issuer takes a flier on ADA or AVAX ETF as well,” Nate Geraci said on X (Twitter).
SOL Price Performance. Source: BeInCryptoAccording to BeInCrypto data, Solana’s powering token price is up by a modest 1.48% on this news. As of this writing, SOL is trading for $238.91.
