Brazil Approves Second Solana ETF, US Lagging Behind
Date: 2024-08-21 Author: Gabriel Deangelo Categories: IN WORLD
According to the Brazilian Securities and Exchange Commission (CVM), popular crypto asset manager Hashdex is launching a new ETF called the “Hashdex Nasdaq Solana Index Fund,” which is currently in the pre-launch phase.
The fund is being managed by Hashdex in partnership with major Brazilian investment bank BTG Pactual.
Brazil’s first Solana ETF was approved on August 8 and launched by asset manager QR Asset. According to QR Asset’s chief investment officer, Teodoro Fleury, the decision cements Brazil’s position as a leading market for regulated crypto asset investments.
In addition, cryptocurrency-linked ETFs and ETF certificates are already being traded on Brazil’s B3 stock exchange. In March, B3 began offering an ETF based on BlackRock’s Bitcoin Trust (IBIT).
Also in April, Brazil launched Bitcoin futures trading, demonstrating growing demand for derivatives that can hedge against price fluctuations in the popular cryptocurrency.
Analysts say Solana ETF unlikely to get approval in the US
Meanwhile, in the US, where Bitcoin and Ethereum ETFs have already been approved, VanEck and 21Shares filed applications for Solana ETFs in June. The funds were planned to be listed on the Cboe BZX exchange, despite the SEC classifying Solana as a security.
However, both SOL ETF applications appear to have been removed from the Cboe website, sparking discussions in the community.
However, VanEck’s head of digital asset research, Matthew Siegel, said on Twitter that the Solana ETF application is still under review.
On the other hand, Bloomberg ETF analyst Eric Balchunas noted that Solana ETFs did not even pass the second stage, as the SEC did not take them into account.
In his post on Tuesday, he emphasized that the probability of Solana ETF approval in the US is extremely low and amounts to "one chance in a million." Balchunas also noted that a potential approval in the future would require a change in leadership at the SEC, as the current head, Gary Gensler, is actively pursuing measures to regulate crypto projects and startups.
Balchunas added that the probability of Solana ETF approval in 2024 is almost zero.
