Cboe Files to List Franklin Templeton’s Solana ETF
- Cboe has filed a 19b-4 filing to list Franklin Templeton’s Solana ETF.
- The Franklin Templeton Solana ETF aims to track the price of SOL.
- Solana (SOL) initially hit $129.60 post-filing but dropped to $123.71 during a crypto downturn.
Introduction to Solana ETF
Cboe BZX Exchange submitted a 19b-4 filing with the US Securities and Exchange Commission (SEC) to list a Solana exchange-traded fund (ETF) proposed by Franklin Templeton. This move signifies a significant step in bringing Solana, the sixth largest cryptocurrency by market value, into mainstream financial products.
Details of the Franklin Templeton Solana ETF
The Franklin Templeton Solana ETF aims to track the spot price of SOL, the native cryptocurrency of a blockchain known for its high-speed transactions and popularity among meme coin developers. The ETF proposal reflects the increasing interest in crypto-based funds among traditional financial institutions.
Competition and Market Trends
Franklin Templeton’s entry into Solana follows similar applications from firms like Grayscale Investments, Canary Capital, Bitwise, 21Shares, and VanEck. These firms are also vying to launch spot Solana ETFs. The SEC has opened public comment periods for some of these proposals, indicating an active evaluation process.
The momentum for Solana funds signals a shift beyond Bitcoin and Ethereum in the ETF space. ETFs provide a familiar investment vehicle for institutional and retail investors, potentially driving broader adoption of cryptocurrencies.
SEC Review and Price Reaction
The SEC has 240 days to review Cboe’s filing for the Solana ETF. This timeline positions the decision for late 2025, aligning with potential crypto ETF approvals. Despite an initial price increase post-filing, Solana’s price has since decreased, reflecting the broader crypto market downturn.
If approved, the Solana ETFs could inject fresh capital and stability into the Solana ecosystem, similar to the impact Bitcoin ETFs had on the market.
