Cboe BZX Exchange, on behalf of asset management firm Franklin Templeton, has filed an application with the U.S. Securities and Exchange Commission (SEC) to list and trade shares of a Solana (SOL) exchange-traded fund (ETF). The 19b-4 filing, submitted Wednesday, marks the second step in the regulatory process required for SEC approval.
With over $1.5 trillion in assets under management, Franklin Templeton is the largest firm to seek approval for a Solana-based ETF. The move comes amid a broader push for crypto-based investment products beyond Bitcoin and Ether.
SEC Review Process and Market Implications
The SEC’s acknowledgment of the filing will trigger its publication in the Federal Register, initiating a review period that could determine the fate of the proposed ETF. The application follows Franklin Templeton’s S-1 filing for a spot XRP ETF just a day earlier, signaling increasing interest in regulated altcoin investment products.
Crypto ETF applications have surged in recent months, partly driven by shifting regulatory sentiment. Since the Trump administration, policies favoring digital assets have encouraged issuers to expand their offerings beyond major cryptocurrencies like bitcoin and ether.
Analysts Weigh Approval Odds for Altcoin ETFs
As the SEC reviews multiple crypto ETF proposals, analysts at Bloomberg have assessed the likelihood of various altcoin ETFs gaining approval. Last month, they estimated Litecoin ETFs had a 90% chance of approval, followed by Dogecoin (75%), Solana (70%), and XRP (65%).
Meanwhile, the SEC's decision-making process could take months, and approval is not guaranteed. However, the increasing number of filings suggests that issuers anticipate a shifting regulatory environment that could open the door for more crypto-based ETFs in traditional markets.
