Solana ETF Approval Stalls Amid Political Uncertainty

• Solana ETF approval stalled, and chances slim without a change in U.S. government leadership.
• SEC inaction halts Solana ETF progress and exchanges withdraw filings, future remains uncertain.
• Despite ETF hurdles, Solana trades at $142.42, ranks #5 on CoinMarketCap with $66B market cap.

The approval process for a Solana Exchange-Traded Fund (ETF) has encountered significant obstacles, with the chances of approval looking increasingly unlikely, particularly in the near term. 

According to Bloomberg ETF analyst Eric Balchunas, the Solana ETF application has stopped at the second step of the filing process, leaving its approval in doubt. Balchunas noted that the possibility of the Solana ETF being approved in 2024 is inadequate. Furthermore, even in 2025, the chances remain slim unless there is a shift in U.S. government leadership.

Eric Balchunas highlighted that the Solana ETF filings never moved beyond the second step of the process. The Securities and Exchange Commission (SEC) failed to acknowledge the filings, effectively causing them dead on arrival.

As a result, exchanges withdrew their Rule 19b-4 filings, although the issuers’ S-1 filings remain active. Balchunas emphasized that the chances of Solana ETF approval are minimal without a change in U.S. leadership, suggesting that a Trump victory in the upcoming elections might be the only scenario where approval becomes feasible.

James Seyffart, another prominent figure in the ETF space, supported Balchunas’ analysis. He commented on the effort involved in creating a flowchart to illustrate the stalled progress of the Solana ETF application. 

Seyffart humorously noted on his X account that while such projects seem simple, they often become lengthy and complex undertakings, emphasizing the current situation’s frustration.

Despite the setbacks in ETF approval, Solana’s market performance continues to draw attention. As of today, Solana is trading at $142.42, with a trading volume of $1,861,126,009.

However, Solana has seen a 2.19% decline in the last 24 hours. Solana holds the fifth position on CoinMarketCap, with a live market cap of $66,428,903,023. The circulating supply of Solana stands at 466,431,782 SOL coins.