The race to start the first Solana (SOL) exchange-traded fund (ETF) in the United States just took a major leap forward. On June 10, digital asset management firm CoinShares officially registered its Solana ETF Trust in Delaware, hinting at its intention to offer investors regulated exposure to the altcoin.

This move comes as the U.S. Securities and Exchange Commission (SEC) reportedly asked issuers to submit updated S-1 filings—an essential step in the ETF approval process. The regulatory momentum, along with growing institutional demand for altcoin investment vehicles, is boosting optimism that a Solana ETF could be approved as early as this year.

CoinShares Files Solana ETF in Delaware

According to official filings with the Delaware Division of Corporations, CoinShares has taken a key step toward start a spot Solana ETF. This registration signals the company’s commitment to expanding its range of digital asset investment products and offering traditional investors access to Solana through a regulated structure.

The registration aligns with broader industry movements as the SEC continues to engage with ETF issuers following its landmark approvals of Bitcoin and Ethereum ETFs earlier in 2024. While no altcoin ETF has yet been greenlit, regulatory analysts believe Solana may be next in line.

Updated Filings Requested by SEC

The SEC has reportedly requested updated S-1 filings from multiple asset managers seeking to start Solana ETFs. These forms are crucial because they outline key details about how the ETF will operate, including mechanisms for asset custody, redemptions, and investor protections.

One notable inclusion in the latest updates is the clarification of how staking will be handled within the ETF. Solana, unlike Bitcoin or Ethereum, relies on a proof-of-stake mechanism, meaning staking rewards are a central part of its ecosystem. The SEC is asking issuers to explain how they will manage these staking returns, whether they’ll pass them on to investors, and how this will impact the ETF’s operations.

Analysts See 90% Chance of Approval

Bloomberg’s senior ETF analyst, Eric Balchunas, has weighed in on the Solana ETF buzz, estimating that there’s a 90% chance of SEC approval within the next two to four months. This high likelihood is based on how the SEC has recently softened its stance toward crypto ETFs, following successful Bitcoin and Ethereum start.

Balchunas noted that institutional appetite for altcoin exposure is growing rapidly. Firms like Grayscale, VanEck, Fidelity, Bitwise, and 21Shares have all lined up to file for spot Solana ETFs, reflecting strong market demand.

Should these ETFs be approved, they could introduce billions in new capital into the Solana ecosystem, significantly boosting liquidity and investor access.

SOL Price Reacts to ETF Optimism

In response to the positive ETF news, Solana’s price surged nearly 5% in the past 24 hours, reaching $166. The token traded between a low of $156.84 and a high of $167.24 during the period, with trading volume spiking over 40%. This surge in activity suggests growing interest among traders who anticipate a potential breakout in SOL’s price.

Some analysts are even more bullish. Popular crypto strategist Ali Martinez predicted that if SOL manages to break the $200 resistance level, it could trigger a massive 5x to 10x rally, pushing the token well beyond previous all-time highs.

The ETF narrative is also likely to draw in institutional investors who have so far been restricted from investing directly in altcoins. With a regulated ETF structure, large funds and advisors would gain safer and simpler access to Solana, potentially transforming its market dynamics.

What’s Next for the Solana ETF?

While the official registration in Delaware is a critical first step, there’s still some way to go before a Solana ETF hits the market. Issuers must respond to SEC feedback, finalize their updated filings, and await formal approval. However, the fact that the SEC is engaging with issuers and not outright rejecting proposals is a strong sign of progress.

The next few months will be crucial. As we saw with Bitcoin and Ethereum ETFs, once approval is confirmed, capital inflows tend to accelerate rapidly. If Solana receives the green light, it may not only lift the SOL price but also validate its position as one of the top blockchain networks beyond Bitcoin and Ethereum.

Final Thoughts

CoinShares’ registration of a Solana ETF Trust marks a significant development in crypto’s ongoing integration with traditional finance. With the SEC showing signs of softening and top analysts predicting a high likelihood of approval, Solana could be the next altcoin to benefit from institutional inflows.

As regulatory clarity improves and investor appetite grows, Solana appears poised for a breakout—both in price and in legitimacy. Whether or not the ETF gets approved in 2025, one thing is certain: Wall Street is watching Solana very closely.