Solana News Today: Regulatory Shift Under Trump Opens Path for Solana ETF Approval

Grayscale Investments has submitted an updated S-1 registration statement to the U.S. Securities and Exchange Commission (SEC) for its proposed spot Solana (SOL) exchange-traded fund (ETF), signaling progress toward a potential launch. The firm's Grayscale Solana Trust (GSOL), currently quoted on the OTCQX, has activated staking functionality, allowing investors to earn rewards while maintaining exposure to Solana's price movements FWP - SEC.gov^[1]. Pending regulatory approval, GSOL could become one of the first U.S.-listed spot Solana ETPs with staking capabilities FWP - SEC.gov^[1].

The SEC's review process for Solana ETFs has intensified, with multiple firms-including VanEck, 21Shares, Bitwise, and Fidelity-submitting similar proposals. Grayscale's filing includes a 2.5% annual fee paid in SOL, while VanEck's competing Sol Trust (VSOL) proposes a lower 1.5% fee and incorporates staking from inception Grayscale Solana ETF Filing Nears SEC Approval - coingabbar.com^[2]. The SEC has extended its decision timeline to October 10, 2025, reflecting a broader regulatory shift under the Trump administration toward accommodating crypto products US SEC Delays Grayscale Solana ETF Decision Until October 2025^[3]. Analysts note that the agency's recent acknowledgment of Grayscale's 19b-4 filing marks a departure from prior rejections, indicating a more receptive stance SEC acknowledges Grayscale Solana ETF filing in …^[5].

Market sentiment has surged following these developments. Polymarket traders now assign a 99% probability of Solana ETF approval by 2025, up from 74% earlier in the year US SEC Delays Grayscale Solana ETF Decision Until October 2025^[3]. JPMorgan estimates a first-year inflow of $3–6 billion if approved, while institutional interest in altcoins like Solana is growing as diversified crypto exposure becomes a priority SEC acknowledges Grayscale Solana ETF filing in …^[5]. Despite a recent 4.84% dip in SOL's price, analysts highlight the potential for volatility and price surges if the ETF gains traction Grayscale Solana ETF Filing Nears SEC Approval - coingabbar.com^[2].

Grayscale's approach to staking involves institutional custodians and validator networks, ensuring passive yield generation without exposing investors to operational risks Grayscale launches spot crypto ETPs with Ethereum and Solana …^[8]. The firm's existing Ethereum Trust ETFs (ETHE, ETH) have already integrated staking, offering a blueprint for the Solana product. However, GSOL's OTC listing currently results in wider bid-ask spreads and potential premiums or discounts to net asset value (NAV) compared to exchange-listed ETFs Grayscale ETFs Let You Earn Ethereum (ETH) & Solana (SOL) …^[6].

Regulatory challenges persist. The SEC's enforcement division has labeled Solana a security in ongoing lawsuits, complicating the approval process SEC acknowledges Grayscale Solana ETF filing in …^[5]. Additionally, the agency's review of staking mechanisms is cautious, with concerns about investor protection and market stability Why Grayscale's First US Staking ETPs Are a Big Step For Crypto^[9]. Grayscale's filings emphasize transparency, with Coinbase Custody Trust and BNY Mellon serving as custodian and administrator, respectively .

The approval of a Solana ETF could catalyze broader altcoin adoption. Institutional investors are increasingly seeking exposure to high-performance blockchains like Solana, which supports decentralized finance (DeFi) and NFT ecosystems Full List of Solana ETFs Awaiting SEC Approval: Dates, …^[4]. If successful, the ETF would follow the trail blazed by Bitcoin and Ethereum ETFs, potentially transforming Solana into a mainstream asset class Grayscale Designates Coinbase Custody for Asset Security and …^[10].