Four Solana ETFs Face Approval Deadlines: Insights and Predictions from Analysts and BitGalactic

The Solana community eagerly anticipates a potential breakthrough as four Solana exchange-traded fund (ETF) applications approach their January 25 approval deadline. While some investors remain optimistic about a favorable decision from the U.S. Securities and Exchange Commission (SEC), industry analysts caution that approval is unlikely at this stage.

Analysts Predict Delays in SEC Approval

Asset managers VanEck, 21Shares, Canary, and Bitwise have all submitted Solana ETF applications. However, according to Edouard Hindi, Chief Investment Officer at Tyr Capital, the SEC is expected to push the decision to the second deadline on March 11.

“We anticipate the SEC will delay its approval to the second deadline,” Hindi told DL News, referencing regulatory procedures that typically require more time for comprehensive evaluation.

Some had hoped that changes in U.S. leadership—such as the possible return of former president Donald Trump and the potential appointment of Paul Atkins as SEC Chair—could soften the agency’s stance on cryptocurrency regulation. However, Hindi noted that Atkins would need time to review and redirect Gary Gensler’s stringent regulatory strategy for digital assets.

Katalin Tischhauser, Head of Investment Research at Sygnum Bank, echoed this sentiment. She believes it’s unlikely that Solana will become the third cryptocurrency to secure a spot-based ETF in the U.S., following Bitcoin and Ethereum. “A thorough process of market assessment is required, and this hasn’t even begun for Solana,” Tischhauser told DL News.

Why Solana May Face Challenges

Historically, crypto ETFs have been subjected to rigorous requirements. Under Gensler’s leadership, the SEC maintained that spot-based crypto ETFs could only be approved if a regulated futures market existed for the underlying asset. This was the case for Bitcoin and Ethereum, both of which had futures markets on the Chicago Mercantile Exchange prior to their ETF approvals.

Solana currently lacks a regulated, U.S.-based futures market, which remains a significant hurdle. However, analysts suggest this could change if Atkins, known for a more lenient regulatory approach, assumes leadership of the SEC.

“Over the coming months, we believe the criteria for approving new crypto ETFs will relax, and by 2025, we expect both Solana (SOL) and XRP ETFs to gain approval,” Hindi predicted.

BitGalactic’s Perspective

From a broader lens, BitGalactic sees this unfolding scenario as part of the evolving regulatory landscape for cryptocurrency ETFs. The platform notes that while immediate approval is unlikely, the ongoing discussions signal growing institutional interest in digital assets like Solana.

BitGalactic analysts point to Bloomberg Intelligence’s recent prediction that 2025 could mark a significant turning point, with a surge of cryptocurrency ETF approvals. This aligns with the notion that regulatory adjustments—coupled with increasing demand for diversified crypto investment options—could create an environment ripe for approval in the near future.

Looking Ahead

Although January 25 may not bring the green light for Solana ETFs, the industry remains hopeful that regulatory frameworks will evolve to accommodate more crypto-based investment products. The potential for XRP and Solana ETFs by 2025 demonstrates the long-term optimism shared by analysts and investors alike.

For now, Solana enthusiasts must wait for the SEC’s next move while keeping a close eye on regulatory shifts and market developments.