Investment company 21Shares Submitted Form S-1 with the U.S. Securities and Exchange Commission Solana brush
-1.25%
– Exchange-traded fund, a day after rival VanEck submitted Similar submissions.
This is the second SOL ETF filing in the U.S. in as many days, following VanEck’s June 27 filing. open the floodgates Offered to competitors looking to launch Solana-based funds.
“21Shares is excited about the potential of a U.S.-based ETF that would provide access to the Solana ecosystem. We believe this is a necessary step for the crypto industry and aligns with our mission to bring easily accessible financial products centered around crypto to the market,” Andrew Jacobson, 21Shares’ chief legal officer, said in a statement shared with The Block.
According to The Block’s, SOL was trading at $143 at the time of publication, down 4% in the last 24 hours. pricing page.
Headquartered in Zurich, Switzerland, 21Shares already manages the physically backed Solana Stake exchange-traded product with over $846 million in assets under management. It also manages the Bitcoin ETF traded on the Cboe BZX Exchange.
Likewise, the 21Shares Core Solana ETF will also trade on the Cboe BZX exchange (as will the VanEck Solana Trust). According to the company’s S-1 filing, the redemption will be in kind (i.e., SOL, not cash), which is consistent with other “exchange-listed products” for spot market instruments other than SOL.
Despite the increased interest from prospective issuers, legal experts told The Block that the SOL ETF lacks a regulated futures market for SOL and that an SEC enforcement decision could prevent the assets from being secured.
“While there is legal precedent for including crypto tokens in CME futures contracts, it should not be the sole criterion for ETF eligibility,” Jacobson said. “Many cryptocurrencies are eligible for tradable ETFs,” he added. “We look forward to expanding access to cryptocurrencies as an asset class and see ETF wrappers as one way to do that.”
The 21Shares SOL Fund holds funds through Coinbase Custody.
Matthew Sigel, head of research at VanEck, told The Block that the timing is right for a SOL ETF approval, considering the network is as decentralized as Ethereum and will soon have its own series of ETFs.
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