In a recent Kitco News interview, Bloomberg Intelligence ETF Research Analyst James Seyffart discussed the prospects for the popular altcoin Solana spot ETF in light of recent approvals for Bitcoin and Ethereum spot ETFs.
Will there be an ETF for altcoin SOL?
Recently, news of the U.S. Securities and Exchange Commission (SEC) approving spot Ethereum ETFs has roiled the cryptocurrency market. This development has also brought projects such as Solana to the agenda, with the expectation that it may pave the way for similar approvals for other altcoins. In an exclusive interview with Kitco News, Bloomberg Intelligence Research Analyst James Seyffart shared insights into the possibility of the Solana ETF. Seyffart argues that the Bitcoin ETF is likely to be approved before the Ethereum ETF, and that other altcoins may experience a significant delay before receiving approval.
Referring to Solana’s specific situation, Seyffart referred to the SEC’s cases of Ripple and Coinbase, which the agency classified as securities. This suggests that Solana may also be considered a security, making ETF approval difficult. Seyffart emphasized that the classification of cryptocurrencies as securities or commodities plays a critical role in ETF approval. Even if Solana is considered a commodity, another hurdle is the SEC’s lack of a market that can provide adequate oversight to prevent fraud and manipulation. While existing Bitcoin and Ethereum ETFs rely on CME futures for this purpose, such infrastructure does not yet exist for Solana.
pointed to 2026
Taking all these factors into consideration, Seyffart predicts that in the current political and regulatory environment, it is unlikely that a Solana ETF will be approved before 2026. However, this does not completely eliminate Solana’s chances of receiving ETF approval in the future. Changes in regulations, developments in futures markets, and growth of the Solana ecosystem could pave the way for ETF approval. The Solana ETF could be an important development for investors and could enable a wider range of institutional investors to participate in the project.
However, given the delay in approval and the high standards set by the SEC, it is important for investors to be cautious and carefully consider all risks before making investment decisions. As a result, Seyffart expressed skepticism about the likelihood of Solana receiving a similar endorsement anytime soon. He noted ongoing legal proceedings regarding Kraken and Coinbase, in which the SEC specifically identified Solana as securities. Seyffart emphasized that whether cryptocurrencies are classified as securities or commodities is crucial for ETF approval. “The SEC has no problem naming Solana a security at this time,” he said.
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