Canary Capital filed for a spot Solana ETF in the United States. It is their third filing for a spot crypto ETF after applying for both XRP and Litecoin ETFs in October.
The firm did not disclose who would be the custodian for SOL. However, it did state the price would be tracked via the Chicago Mercantile Exchange CF Solana index.
Many see Solana as the next cryptocurrency the U.S. SEC may approve for a spot ETF. However, the news failed to spark a rally in Solana as the U.S. elections grabbed most of the attention.
It has been speculated that if Donald Trump is re-elected, he will remove the SEC chair, Garry Gensler, due to his tough stance towards cryptocurrencies.
This may not be the case with SOL, as opposed to Ethereum ETFs, which are failing to gain investors’ attention compared to Bitcoin ETFs.
Current data shows the number of transactions in Solana exceeded 14M in the past 24 hours, whereas Ethereum only had around 267k transactions. Solana’s 24-hour trading volumes are almost double that of ETH.
TVL and volumes | source
Solana was also the home to some of the best meme coins in the crypto markets, such as GOAT and BONK. While the chain experienced congestion, the developers resolved it shortly. Solaxy – the world’s first Layer 2 network for Solana – also looks set to help resolve some of Solana’s long-running issues.
Under the assumption that the chain will continue growing, the metrics may appeal to investors interested in a Solana ETF.
Due to the recent bullish momentum in the crypto markets, Solana’s market cap is now greater than PayPal’s.
What other cryptocurrencies have the potential to join the ETF markets?
Aptos (APT) is the next potential candidate to join the traditional ETF markets. It depends greatly on the chain’s popularity, activity, and holders.
Another indicator is the number of the top stablecoins that have launched on the chain. It signals trust and the expectation that the chain’s popularity may increase. Tether (USDT) launched on Aptos on October 28, 2024.
Crypto options ETFs may also be filed following the U.S. SEC’s approval of Bitcoin options ETFs. The key is the regulatory framework that the United States will set.
