New Solana ETF Filed by Chicago Board Options Exchange (Cboe)
Chicago Board Options Exchange (Cboe) filed on March 25 to trade a spot Solana (SOL) exchange-traded fund (ETF) issued by Fidelity through the registration of a 19b-4 form. This move comes shortly after Fidelity registered a Solana fund in Delaware.
Fidelity’s Impressive Asset Management
- Fidelity registered $5.9 trillion in assets under management as of Dec. 31, making it the third-largest asset manager globally.
- The firm also records the second-largest inflows from spot Bitcoin (BTC) and Ethereum (ETH) ETFs traded in the US, amassing nearly $13 billion.
Notably, this development follows the recent introduction of SOL-related ETFs in the US market. Issuer Volatility Shares launched two products tracking the price of Solana futures contracts, one of which offers exposure with 2X leverage.
Solana ETF Competition
Fidelity joins a list of companies aiming to offer an SOL ETF in the US, including 21shares, Canary Capital, Bitwise, VanEck, and Grayscale.
Comparing BTC and ETH exchange-traded products’ inflows to their market caps, JPMorgan estimated in January that SOL ETFs could see inflows between $3 billion and $6 billion.
Solana futures recently began trading in the US on the Chicago Mercantile Exchange (CME) on March 17, with initial volume indicating a strong interest in SOL. K33 head of research Vetle Lunde pointed out the trading volumes and market cap comparisons with BTC and ETH.
Competitive ETF Landscape
Asset managers are exploring regulatory boundaries in the US following recent political changes. Filings for altcoin-related ETFs range from major-cap cryptos to medium-cap assets, including non-fungible tokens (NFTs) and memecoins.
Canary Capital recently filed for the first ETF tracking the price of a non-fungible token (NFT) collection. The fund will be exposed to the PENGU token and Pudgy Penguins NFTs if approved.
Even memecoins are being considered for ETFs, with Bitwise filing a Dogecoin (DOGE) ETF in January to expand the ETF race to new assets.
