Grayscale Investments Files for Solana ETF
Date: 2024-12-05 Author: Henry Casey Categories: BUSINESS
Grayscale Investments has filed with the U.S. Securities and Exchange Commission (SEC) to convert its GSOL trust into a spot Solana ETF. The fund will be managed by Coinbase Custody, a division of Coinbase (NASDAQ:COIN).
Administrative functions, including the issuance and redemption of shares, will be performed by an office of The Bank of New York Mellon, which will also act as the fund’s transfer agent.
Grayscale Solana Trust (GSOL) has been in existence since 2021 and, as noted in the application, is the largest product based on the Solana cryptocurrency. The fund’s total assets amount to $134.2 million, which is equivalent to 0.1% of the entire supply of the SOL token. However, it is worth emphasizing that GSOL is a closed trust, the shares of which are not available for public trading.
Interest in the Solana ETF has increased amid applications from other large companies such as Canary, VanEck, 21Shares and Bitwise, which are also seeking regulatory approval to launch similar funds.
While the price of the Solana token has not changed significantly since the news, its price has increased by 45% in November. Experts attribute this to increased expectations regarding the approval of spot ETFs based on this cryptocurrency.
