Solana ETF is expected to be approved by the SEC within five weeks? After the positive news was released, SOL pumped by 5%.

The U.S. Securities and Exchange Commission (SEC) is requiring issuers interested in filing for the Solana Spot ETF to revise key filing documents. After the news broke, the price of Solana (SOL) rose about 5% during the US after-hours trading session. Driven by the positive news that the SEC requires potential ETF issuers to amend their S-1 filings and provide a review opinion within 30 days of filing, this move is seen as a significant development for the SOL spot ETF offering, and driven by this positive news, the SOL price exceeded $165 in a short period of time, rose nearly 5% in 24 hours, and rose 6.1% in seven days.

According to three insiders who spoke to Blockworks, the U.S. Securities and Exchange Commission (SEC) has requested that potential Solana ETF issuers submit a revised S-1 form within the next week. Additionally, two other sources added that the SEC indicated it would provide feedback within 30 days after the submission of the documents. The two sources pointed out that the SEC requested issuers to update the description of "In-Kind Redemptions" and how to handle the staking mechanism. The two individuals mentioned that the SEC seems open to including staking in the Solana ETF.

Analysts say: Solana ETF may receive SEC approval within five weeks.

A source believes that the SEC notifying issuers to amend key documents suggests that the Solana ETF may be on track for approval within three to five weeks. Bloomberg analyst James Seyffart told Blockworks that it could be approved as early as July.

Seyffart wrote in a report this week that the SEC may now handle the Solana and staking ETF 19b-4 application earlier than originally planned. Issuers and industry stakeholders are very likely to work closely with the SEC and its cryptocurrency working group to clarify regulations; however, the deadline for a final decision on such applications will still be in October.

Traditional institutions are vying to launch a Solana Spot ETF.

Crypto Exchange-Traded Products (Crypto ETP) are regulated funds that allow investors to access the spot prices of the underlying cryptocurrencies. Currently, several traditional asset management companies, including Fidelity, Franklin Templeton, VanEck, Bitwise, Canary Capital, 21Shares, and Grayscale, are competing to launch a Solana Spot ETF.

Grayscale plans to convert the trust into an ETF

Last month, the SEC delayed Grayscale's Solana ETF application and said it has not reached any conclusions about its 19b-4 listing application. The SEC formally accepted the petition back in February, which Bloomberg analyst James Seyffart noted at the time was an important development because the SEC had rejected similar petitions in the past. He said that most crypto ETF applications will be approved this year, and some may even pass sooner, noting that both Solana and XRP ETFs currently have versions of derivatives that pave the way for spot ETFs, adding that he would be extremely shocked if the SEC did not allow Solana or XRP to launch spot ETFs. Bloomberg analyst Eric Balchunas also said in April that they had raised the probability of SOL spot ETF approval from 70% to 90%.

Is the Solana ETF expected to be approved by the SEC within five weeks? After the release of positive news, SOL pumped 5%, first appearing in Chain News ABMedia.