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Solana Surges 4% After SEC Signals ETF Approval Within Weeks

Solana on a purple buckground

Solana’s price surged by 4% following a promising development that may fast-track the approval of spot Solana ETFs. According to a recent report by Blockworks, the U.S. Securities and Exchange Commission (SEC) has requested revised S-1 forms from potential ETF issuers—a move that has sparked optimism across the crypto market.

SEC Requests Updates on Key ETF Elements

The SEC’s request centers on updates to specific ETF mechanics, notably in-kind redemptions and staking strategies. Crucially, the agency appears open to allowing staking within these Solana ETFs, which marks a significant shift in regulatory tone. Issuers have been given one week to submit the updated documents, with the SEC committing to provide feedback within 30 days.

These steps suggest the regulatory body is actively working toward a resolution, potentially clearing the way for approval in as little as three to five weeks. Though the SEC has not officially commented, the timeline reflects increasing momentum behind Solana’s institutional integration.

Analyst Sees High Likelihood of Approval

Bloomberg analyst James Seyffart noted that the SEC “may act early” in this case, citing a remarkable 90% chance of approval. If this estimate holds true, Solana could soon join the ranks of other crypto assets like Bitcoin and Ethereum that have already seen spot ETFs approved or under consideration.

This development significantly boosts Solana’s appeal to institutional investors, who often require regulated products to gain exposure to digital assets. The inclusion of staking could make these ETFs even more attractive, offering passive income potential alongside price exposure.

What This Means for Solana

A spot ETF approval could serve as a major catalyst for solana’s long-term growth. It not only validates Solana’s credibility within U.S. financial markets but also enhances accessibility for retail and institutional participants alike. The 4% price spike shows the market is already pricing in the potential upside.

If the approval comes through, solana could see increased inflows, deeper liquidity, and a stronger foothold in the rapidly evolving ETF space. With odds sitting at 90%, the countdown has effectively begun.

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