The spot Solana ETF is the latest hot topic in the crypto industry, and its fate might be tied to the upcoming 2024 U.S. presidential election.
Matthew Sigel, head of research at VanEck, has made it clear that the future of this ETF depends on the election results and whether Gary Gensler remains the chairman of the SEC.
Just last week, VanEck submitted an application to launch a spot Solana ETF in the United States. Hot on their heels, 21Shares did the same.
Source:VanEck
Sigel spoke to Bloomberg, saying, âThereâs a good chance that crypto voters are going to make the difference in this election.â The odds of getting a spot Solana ETF approved, according to him, vary greatly depending on the electionâs outcome and Genslerâs position.
Many in the community believe that the ETFâs approval hinges on whether former President Donald Trump wins the upcoming election in November. Sigel pointed out changes in Washingtonâs regulatory environment, noting:
âWeâre already seeing a change in the regulatory environment at the elected official level. Multiple Democrats voting for pro-crypto legislation.â
Pointing to a recent statement by Gensler that âEthereum spot ETF approval process is going smoothly,â and said âThis might be the only time in three years that Iâve agreed with Gary Gensler about something.â
Sigel believes that if Ethereum-based products are allowed to trade, it would confirm Ethereumâs status as a commodity. He extended this logic to Solana, stating, âThe same thing will be true of Solana as well.â
âThereâs some focus that thereâs no regulated futures market for Solana. And that might be holding back the ETF.â
Matthew Sigel
With the slight change in the regulatory environment in Washington, Sigel remains optimistic, stating, âWe think these will get approved.â However, he clarified that the outcome isnât entirely dependent on the presidential election.
Credits: VanEck
On the topic of Ethereum versus Solana ETFs, Sigel emphasized VanEckâs role in providing options to investors. He called for fairness in the ETF approval process, a stance heâs taken before.
âIt is not too late for the SEC to do the right thing and revert to its traditional first come, first serve process towards approving these ETFs,â he said. âAnd under that framework, you know, VanEck would go first.â
Reporting by Jai Hamid