SOL ETF Launch Unlikely Without Change of Government Industry Experts Pour Cold Water

SOL ETF Launch Unlikely Without Change of Government Industry Experts Pour Cold Water

SOL ETF Launch Unlikely Without Change of Government Industry Experts Pour Cold Water

Although the submission of the SOL ETF by asset management company VanEck has caused many Solana supporters to be excited and even pushed up the price of SOL significantly, industry insiders hold two different views on the approval of the SOL ETF. Evgeny Gaevoy, the founder of cryptocurrency market maker Wintermute, believes that the possibility of the SOL ETF being approved this year is almost zero and that submitting more applications is more for public relations purposes. Even if the SOL ETF is approved, the inflow of funds will be minimal. In addition, Evgeny Gaevoy also added that although Wintermute is a long-term supporter of SOL and ETH, it is still necessary to be pragmatic, and the adoption of cryptocurrencies takes time. On the other hand, Haseeb Qureshi, a partner at investment firm Dragonfly Capital, holds the same view. Haseeb Qureshi believes that BTC and ETH ETFs meet the SEC’s market regulatory requirements because the future markets for these assets have matured. “If there is no listed futures market, they cannot meet the market regulatory standards,” said Haseeb Qureshi. On the other hand, James Seyffart, an ETF expert at Bloomberg Intelligence, also said that only after the US election party rotation, White House and SEC personnel reshuffle, will there be a chance of approval, and it may not be possible until 2025 at the earliest, and even then, it is not guaranteed to be approved. The biggest legal obstacle facing the SOL ETF is that the SEC’s enforcement division has repeatedly stated that SOL is an unregistered security. The SEC’s opinion is based on the Securities Act passed in the early 1930s and the Howey test, which determines what constitutes a “security investment” in certain circumstances.