thecryptobasic.com
Asset manager Canary Capital becomes the latest to submit a Solana spot exchange-traded fund (ETF) filing with the US Securities and Exchange Commission (SEC) amid growing traction.
The Tennessee-based asset manager submitted the filing on October 30, declaring its intention to offer clients indirect access to Solana, the fifth-largest crypto asset with a market cap of $82.4 billion. The filing stated that the investment vehicle would track the price of Solana using the Chicago Mercantile Exchange CF Index as a benchmark.
Notably, Canary did not indicate which exchange the Solana ETF will trade on or the ticker representing the fund in the filing.
Canary Joins Bandwagon
The asset manager becomes the latest to file for a Solana spot ETF with the SEC as institutional interest develops toward the crypto asset. Notable ETF issuers like VanEck and Ark Investment had already filed for the fund approval in September.
Although the other filings have not made significant progress, Canary’s entrance into the race establishes surging institutional traction toward a Solana spot ETF. Meanwhile, Bloomberg’s senior analyst Eric Balchunas noted that the filings may only see the light of day if the SEC hierarchy changes following Republican nominee Donald Trump’s win.
Furthermore, Canary has filed for three ETFs since its market debut in September. The asset manager, founded by former Valkyrie executive Steven McClurg, had filed for XRP and Litecoin ETFs earlier in the month.
Solana Gaining Institutional Traction
Notably, institutional investors and asset managers have started noticing the fifth-largest crypto asset by market cap. This was expected following the launch of the Bitcoin and Ethereum ETFs in January and July, respectively.
Solana’s chain properties and active usage have been an inviting point for asset managers. Canary noted in an October 29 post that Solana has eclipsed Ethereum and Binance Chain in active addresses and layer 2 chain accounting.
VanEck and Standard Chartered also share a similar sentiment with Canary, noting in different capacities that Solana has outpaced Ethereum in chain performance recently. The former expects the asset to reach half of Ethereum’s market cap in the near term.
However, regulatory uncertainties still impede Solana. The US SEC views the cryptocurrency as a security and has played hardballs since institutional traction for the asset resumed.
At the time of writing, Solana trades at $175.22, down 2.51% in the past 24 hours. Meanwhile, the altcoin has surged 12.79% in the past month and 384% over the last year.