21Shares submitted an S-1 application to the United States Securities and Exchange Commission on June 28 for a spot Solana exchange-traded fund (ETF), which will be known as the 21Shares Core Solana ETF. This marks the second such application received by the SEC for a spot SOL ETF, following VanEck’s filing on June 27.
The proposed ETF is set to be traded on the Cboe BZX Exchange. Coinbase will act as the custodian for the fund’s Solana (SOL) holdings, which will be privately insured. The assets will be stored in segregated wallets on the Solana blockchain.
The fund will not engage in validating or staking SOL. The intra-day value of shares will be calculated every 15 seconds, with the value of SOL in the fund determined daily at 4:00 pm ET (09:00 pm UTC).
21Shares is a pioneering company in the crypto ETF sector. Headquartered in Zurich, Switzerland, the crypto-native financial technology firm already offers futures Ether (ETH) and both spot and futures Bitcoin (BTC) ETFs in the United States in collaboration with ARK Invest. Additionally, 21Shares and ARK Invest provide an ETF that invests in BTC and ETH futures and in public equities of companies involved in the blockchain industry and digital economy.
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Following the news of VanEck’s filing, the price of SOL surged from $139 to $150, trading at around $141 at 12:00 pm ET, according to CoinMarketCap.
Source: Nate Geraci
21Shares has a complex history with ETFs. On May 31, it applied for a spot ETH ETF named the 21Shares Core Ethereum ETF after ARK Invest terminated its partnership with the company for that application. The SEC approved the ARK 21Shares spot ETH ETF 19b-4 filing on May 23, with S-1 filings approved separately after 19b-4 filings. The partners initially intended to offer an ETH ETF with staking but later revised their plans.
SOL is the fifth largest cryptocurrency by market cap. However, the Solana blockchain has faced criticism for frequent outages and slow processing during periods of congestion.
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