Further fueling the ETF race for Solana, asset management firms Invesco and Galaxy Digital have filed an S-1 form with the U.S. Securities and Exchange Commission (SEC) for a spot Solana exchange-traded fund (ETF).
This filing marks the ninth application in a burgeoning trend for Solana ETF, underscoring growing institutional interest in altcoins as investors see higher potential in them amid ever-increasing crypto adoptions.
The proposed application is slated for listing on the Cboe BZX exchange under the ticker “QSOL,” and it will see BNY as the administrator and Coinbase as the custodian.
In this joint initiative, Invesco would be the ETF sponsor, and the Bank of New York Mellon will be looking after administration. Meanwhile, Galaxy, as an asset manager, will be responsible for acquiring Solana (SOL) for the fund.
The appeal for Solana ETF lies in its high-speed blockchain infrastructure capable of processing up to 65,000 transactions per second, which is a stark contrast to Bitcoin’s slower network. The timing for this filing also coincides with a notable surge in Solana’s CME futures volume.
Impact on Solana (SOL) Price
Despite the news, the Solana (SOL) price has remained in a hurdle and continues trading in a weekly range, while traders were anticipating a major breakout. Historically, such ETF filings tend to push the underlying asset with sharp upsticks, but recently shifted market dynamics have altered the trend.
At the time of writing, Solana (SOL) is trading near $144.94, having a 24-hour trading volume of $3.28 billion. Notably, SOL has declined over 16% in the past month, coinciding with a broader market downtrend.
Also read: BlackRock Pushes SEC to Approve XRP ETFs Before July: Fact Check
