- SEC rejects Solana spot ETF, signaling no new crypto ETFs under current leadership.
- Solana price holds at $240, facing uncertainty amid concerns over ETF approval delays.
- Crypto industry awaits SEC leadership change, hoping for progress on ETF filings in 2024.
The U.S. Securities and Exchange Commission (SEC) has reportedly decided to reject spot Solana (SOL) ETF applications. Fox Business journalist Eleanor Terrett confirmed that at least two of the five applicants have been notified. The SEC’s decision highlights its reluctance to approve new cryptocurrency ETFs under the current administration.
Industry experts believe this rejection is part of the SEC’s broader resistance to crypto investment products. Terrett stated that the consensus among insiders is that no new crypto ETFs will be approved soon. This echoes previous concerns raised by market participants about the SEC’s stance on digital asset funds.
The Solana price at press time hovers around $240. However, uncertainty about the ETF decision raises concerns over its ability to rally to $300. Market analysts warn that the SEC’s rejection could dampen investor sentiment and impact Solana’s short-term price trajectory.
ETF Store President Nate Geraci described the SEC’s current phase as a “lame duck” period. He stated that no progress on crypto ETF filings is expected until new leadership is in place. Paul Atkins, who will take over as SEC chair in January, is seen as potentially more favorable toward crypto.
The SEC’s handling of crypto ETFs has faced scrutiny. The regulator lost a high-profile lawsuit against Grayscale earlier this year regarding Bitcoin ETFs. Following that loss, Bitcoin and Ethereum ETFs were approved. Applications for Solana and other digital asset ETFs were expected to follow, but the current administration appears to have stalled these approvals.
Terrett addressed speculation that some Solana ETFs might still gain approval. She clarified that the SEC will likely approve all applications simultaneously or none at all. This approach mirrors the agency’s handling of Bitcoin ETFs, where multiple funds launched on the same day.
The cryptocurrency community has expressed frustration over the SEC’s decisions. Advocates for XRP, which also has pending ETF applications, are closely monitoring the situation. This latest development signals continued regulatory resistance for crypto investment products under the SEC’s current administration.
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