VanEck's Spot Solana ETF Moves Closer to U.S. Market with DTCC Listing

VanEck's spot Solana ETF, tickered VSOL, has been listed for prelaunch by the Depository Trust & Clearing Corporation (DTCC). This listing is a significant step towards potential approval by the Securities and Exchange Commission (SEC) for trading on U.S. exchanges. The DTCC, a critical infrastructure provider for the U.S. securities market, supports electronic trading and clearing. Its listing of VSOL indicates that operational settlement and custody systems are in place, awaiting regulatory approval. Although the DTCC platform has not yet created or redeemed the fund, the listing signals that preparations are underway for its possible market introduction.

VanEck, an international investment manager, has already introduced Bitcoin and Ethereum futures ETFs. The spot Solana ETF by the firm will track the price of the cryptocurrency, providing investors with direct exposure to Solana in a regulated vehicle. This development follows the SEC's approval of spot Bitcoin and Ethereum ETFs, indicating a broader acceptance of digital assets in traditional finance.

The DTCC listing aligns with recent regulatory developments. The SEC has asked issuers such as VanEck to make amendments to their S-1 filings, which is mandatory before the approval of ETFs. The update centers on in-kind redemptions and staking strategies, where the agency is open to the idea of including staking in Solana ETFs. This regulatory involvement implies that Solana may be the third cryptocurrency to have an actively approved ETF in the U.S. after Bitcoin and Ethereum.

Solana, a blockchain known for its low transaction fees and high transaction speeds, has attracted developers and investors. The Chicago Mercantile Exchange (CME) trades Solana futures, further strengthening the case for its ETF approval. Competition has escalated with other companies such as Fidelity, Grayscale, and Franklin Templeton filing spot Solana ETFs. Recently, the DTCC included two Solana futures ETFs, marked as redeemable, signaling another step in Solana-based investment products.

The DTCC’s role extends beyond traditional securities. Its involvement in blockchain-based assets has been growing, and in 2024, it proposed a platform to manage tokenized collaterals. VanEck is coordinating with exchanges, transfer agents, and custodians to prepare for VSOL’s approval. The VSOL listing of VanEck is similar to its spot Ethereum ETF that was listed on the DTCC in May 2024 and then listed on the Cboe exchange. It is based on this precedent that one can hypothesize the possible timeline of VSOL approval, with no definite date of the trading established yet. There are still regulatory obstacles, as the SEC still examines altcoin ETFs, such as XRP and Avalanche.

Institutional adoption of Solana is gaining momentum. The ecosystem of the blockchain is supporting both decentralized applications and smart contracts. This would make it a rival to Ethereum. A spot Solana ETF would offer conventional investors a controlled route to invest, which could fuel additional price increases and market acceptance. The presence in the DTCC list does not mean SEC approval. But it is an indication of a big step forward. As infrastructure is established, VanEck (VSOL) is set to take advantage of the increase in popularity of Solana. This will happen when regulatory approval is acquired.

VSOL’s listing on DTCC shows that traditional banks are beginning to accept digital assets. Adding the CME makes Solana’s case for widespread use stronger, as does its growing community of developers. The ETF, should it pass, would make it easy to invest in Solana. Investors would not have to deal with crypto wallets or use unregulated exchanges. The action is based on the success of spot Bitcoin and Ethereum ETFs that have received billions of investors in recent years. The fact that the firm has been dealing with digital asset funds around the world makes it a leader in the altcoin ETF market. Other managers of assets are adopting the same, and there are several Solana ETF applications before the SEC.