SEC Silence Casts Doubt on VanEck and 21Shares’ Solana ETF Prospects

• VanEck, 21Shares’ Solana ETF filings removed from Cboe site, raising regulatory questions.
• SEC’s silence on Solana ETFs sparks speculation about possible withdrawal or rejection.
• Industry experts doubt Solana ETF approval under current U.S. regulatory environment.

VanEck and 21Shares’ Solana ETF filings, which were initially listed on the Cboe website, have mysteriously disappeared, raising questions about the status of their proposed exchange-traded fund (ETF). 

The documents, identified as SR-CboeBZX-2024-066 and SR-CboeBZX-2024-067, are no longer accessible through direct links or visible under BZX Pending Rule Changes. This development comes after both companies submitted their S-1 forms in late June, signaling their intent to launch spot Solana ETFs.

The removal of the 19b-4 forms has led to speculation about the fate of the Solana ETFs. These forms represent the second stage in the ETF approval process, following the submission of the S-1 forms. The U.S. Securities and Exchange Commission (SEC) typically issues a notice of filing to confirm receipt of the 19b-4 submissions. However, in this case, no such notices were issued, prompting discussions about whether the filings have been withdrawn or rejected.

VanEck and 21Shares initially filed their 19b-4 applications on July 8, shortly after the SEC provided clarity on nine spot Ethereum ETFs. Despite the companies’ efforts, the SEC’s silence on the Solana ETFs has led to uncertainty regarding their future. The absence of official communication from the SEC has sparked debates about the reasons behind the missing filings.

Matthew Sigel, head of research at VanEck, expressed frustration with U.S. regulators, particularly in light of Brazil’s approval of spot Solana ETF products. Sigel suggested that the U.S. may need a regulatory “soft fork” before any Solana ETF can gain approval. His remarks underscore the challenges faced by crypto-focused financial products in the U.S. regulatory environment.

Scott Johnsson, general counsel at Van Buren Capital, speculated that the SEC, under the leadership of Gary Gensler, may have influenced the removal of the filings. Johnsson hinted that Gensler’s stance on crypto could have played a role, suggesting that the filings might have been deemed improperly submitted.

Nate Geraci, president of ETFStore, confirmed the removal of the filings and expressed skepticism about the likelihood of Solana ETF approval under the current administration.