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Home » SOL ETF Faces Challenges on the Road: Bloomberg Analysts Reveal SEC Lawsuits Targeting SOL as Security
Ethereum

SOL ETF Faces Challenges on the Road: Bloomberg Analysts Reveal SEC Lawsuits Targeting SOL as Security

May. 23, 2024No Comments3 Mins Read
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SOL ETF Faces Challenges on the Road: Bloomberg Analysts Reveal SEC Lawsuits Targeting SOL as Security
SOL ETF Faces Challenges on the Road: Bloomberg Analysts Reveal SEC Lawsuits Targeting SOL as Security
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CNBC discussed the possibility of a SOL ETF on their program on the 23rd, but Bloomberg analysts were not optimistic about it.

Title: Will Ethereum Spot ETF be Approved? BlackRock submits updated filing, decision to be made at 4 am tomorrow?

Contents:
The probability of approval for the Ethereum Spot ETF saw a reversal on the 21st when it was reported that the SEC is requesting exchanges to expedite the submission of the ETF 19b-4 documents. Bloomberg analysts have also increased the chances of the Ethereum Spot ETF being approved on May 23rd to 75%, causing ETH to surge by 18%.

Various ETF issuers have also made revisions to their documents, such as removing the pledging process. While there is optimism in the market that the SEC will approve specific Ethereum ETFs, discussions have begun regarding which cryptocurrency asset will be the next spot ETF.

Title: Is the next spot ETF going to be SOL? Is there a possibility of it being approved by May 23rd? ETH surges by 18%.

CNBC trading commentator Brian Kelly earlier expressed optimism on the program that SOL could be the next cryptocurrency asset to become a spot ETF. He pointed out that this is not an “ETH Sell the News” event, as ETH has not performed well for a long time. Whether the Ethereum ETF is approved or not on May 23rd is not the focus for him. He believes the correct trade is to find the next cryptocurrency asset for an ETF, and it is very likely to be SOL. BTC, ETH, and SOL are the “big three” he considers in this bull market cycle. Additionally, he also sees Coinbase and Robinhood benefiting from cryptocurrency ETFs, which aligns with the views of Snow, CFO of cryptocurrency payment company Beam.

Title: Can the Ethereum Spot ETF benefit Coinbase and boost COIN stock price?

On the other hand, Bloomberg ETF analyst James Seyffart is less optimistic about the SOL ETF. Firstly, based on precedent, it is possible that the SOL spot ETF may not be launched until several years after the introduction of the futures ETF under CFTC regulation. Secondly, the SEC has shown a difference in attitude towards ETH and SOL. In the lawsuits against COIN and Kraken, the SEC indicated that Solana is a security.

Title: Kraken faces SEC accusations again: mixing users’ funds, listing a large number of unregistered securities.

James Seyffart believes that the path for the SOL ETF will be filled with challenges. However, the FIT21 bill may accelerate the process. Additionally, the SOL ETF may be the most sought-after cryptocurrency asset besides BTC and ETH.

Title: Cryptocurrency market bill FIT21 successfully passes the House of Representatives with support and opposition. What is the next step?

ETH
SOL

Further reading:
Will more competing coins be classified as commodities rather than securities with the approval of the Ethereum Spot ETF?
Bybit’s Director of Financial Products, Hao Yang: The market has mostly underestimated the potential of Ethereum (ETH), which is not in direct opposition to SOL.

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