Solana ETF bids have started to trickle in at the SEC as Wall Street is abuzz with cryptocurrency talk and the digital asset regulatory scene shifts course.

Following VanEck’s punt for a Solana (SOL) Trust, fellow wealth manager 21Shares has filed its “21Shares Core Solana ETF” with the Securities and Exchange Commission (SEC), documents submitted on Friday showed. Both filings notably removed crypto staking from bids, a common decision for crypto-backed ETFs lately.

The 21Shares spot Solana ETF application is the second of its kind, as SOL has taken centerstage during this cycle alongside heavy hitters like Bitcoin (BTC) and Ethereum (ETH). After successful Bitcoin ETF and forthcoming Ethereum ETF approvals, SOL has made the rounds as the next cryptocurrency to assume the exchange-traded fund wrapper used to attract institutional capital. 

Despite the hype, experts, and industry leaders, like Wintermute CEO Evgeny Gaevoy, argue that bringing spot SOL ETFs to market will be nearly impossible until at least next year. Gaevoy also predicted that low capital inflows into spot ETH ETFs might discourage investors from buying another crypto investment product. 

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Solana ETF issuers chant SOL commodity status

Classifying Solana’s native token as a commodity instead of a security has been a shared theme among spot SOL ETF filings thus far. The strategy and underlying thesis for SOL-backed funds mirror the pathway followed by would-be spot Ethereum ETF issuers. 

On June 27, VanEck’s head of digital assets research, Matthew Sigel, wrote that SOL functions similarly to other digital commodities like Bitcoin and Ether as a transaction fee facility and payment currency for blockchain computational services. 

Additionally, Sigel posited that no single entity or intermediary controls the SOL network, further solidifying its decentralized framework and commodity status. “The broad range of applications and services supported by the SOL ecosystem, from decentralized finance (defi) to NFTs, underscores SOL’s utility and value as a digital commodity,” per Sigel. 

Read more: Strategic move or reckless optimism? The first application for Solana ETF filed in the US