SEC's Solana ETF Review: Catalyst for Altcoin's Institutional Breakthrough

The U.S. Securities and Exchange Commission (SEC) is nearing a decision on multiple spot Solana (SOL) exchange-traded fund (ETF) applications, with VanEck’s proposal advancing through critical regulatory milestones. The asset manager filed for a Solana ETF in June 2024, positioning the product as part of a broader industry shift toward institutional-grade exposure to altcoins. Matt Sigel, VanEck’s head of digital asset research, cited a "90% chance of approval by July 31, 2025," driven by favorable regulatory sentiment under the Trump administration and the departure of former SEC Chair Gary Gensler Solana: VanEck Exec Predicts SOL ETF Launch: …^[1].

Key deadlines for the SEC’s review include January 23–25, 2025, for initial responses to applications from Grayscale and four other issuers, including VanEck. A second review window in March 2025 is anticipated if delays persist, with a final decision on Grayscale’s conversion of its $134 million Solana Trust into an ETF due by October 16, 2025 Solana ETF Approval Timeline: Key Dates to Watch …^[2]. The agency has requested updated S-1 filings from issuers, focusing on in-kind redemptions and staking mechanisms, signaling heightened scrutiny of operational risks.

VanEck’s proposed ETF, VSOL, has been listed on the Depository Trust & Clearing Corporation (DTCC) under a "pre-launch" status, marking infrastructure readiness for potential trading. This step, while not guaranteeing approval, reflects growing institutional recognition of Solana-based products. The DTCC listing follows similar moves by futures-based Solana ETFs (SOLZ and SOLT) and underscores the blockchain’s appeal for its high throughput and developer ecosystem .

Regulatory and market dynamics are accelerating the approval timeline. The launch of regulated Solana futures on Coinbase in 2025 addresses historical SEC concerns about market manipulation, a precedent observed in Bitcoin and Ethereum ETF approvals. Additionally, Polymarket data indicates an 89–95% probability of approval in 2025, reflecting strong institutional demand. VanEck’s filing joins applications from Grayscale, Bitwise, 21Shares, and Franklin Templeton, with BlackRock notably absent from the cohort VanEck’s Solana ETF listed with DTCC as SEC …^[4].

Market reactions to the ETF developments have been mixed. Solana’s price (SOL) has traded near $147.93 as of June 2025, down 3% in 24 hours, despite the DTCC listing. Analysts attribute the volatility to broader crypto market uncertainty and the SEC’s delayed timeline. However, historical precedents—such as Bitcoin’s post-ETF all-time high in March 2024—suggest that regulatory clarity could catalyze renewed investor interest Solana: VanEck Exec Predicts SOL ETF Launch: …^[1].

The approval of a Solana ETF would mark a pivotal moment for altcoin adoption, offering retail and institutional investors regulated access to a blockchain with over 1,000 active applications. VanEck’s proposal, alongside competing filings, highlights the sector’s readiness to scale beyond futures and trusts. While the SEC’s final decision remains pending, the convergence of regulatory shifts, market infrastructure improvements, and institutional demand positions Solana as a leading candidate for the next major ETF approval.