Ethereum ETF Launch Doesn't Guarantee Solana ETF Approval: Here's Why
The approval and forthcoming launch of Spot Ethereum ETFs have stirred excitement within the crypto community.
However, experts caution that this doesn’t guarantee similar approval for other cryptocurrencies like Solana (SOL).
Paul Brody, EY’s Global Blockchain Leader, recently discussed the implications of these developments.
Will Ethereum ETF Launch Lead to Other Crypto ETF Approvals?
Brody expressed optimism about the Spot Ethereum ETF launch, stating, "I’m expecting so many good things.
This is the beginning of a relatively long journey," in an interview with CNBC.
He emphasized that this represents an early stage of global regulatory convergence in the crypto market.
However, Brody noted that regulatory acceptance of Ethereum does not automatically extend to other cryptocurrencies.
For example, the fate of Solana ETF applications remains uncertain.
Last month, VanEck became the first to file an application for a Spot Solana ETF in the U.S.
Additionally, this month, CBOE submitted a request to the SEC to list ETFs linked to Solana.
Despite these efforts, Brody highlighted significant differences between Ethereum and Solana that could influence regulatory decisions.
"Bitcoin and Ethereum are much more decentralized than the Solana ecosystem," Brody explained.
He pointed out that differences in decentralization, technical requirements, and market liquidity could lead to varied regulatory responses.
"There are really substantial differences between these different networks," he added.
Therefore, Brody suggested that the SEC might not respond to Solana in the same way it did to Bitcoin and Ethereum.
He also discussed the broader regulatory landscape, comparing the U.S. to Europe.
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