The Solana ETF race heats up as companies resubmit amended filings to the SEC.

The race to launch the first Solana ETF in America is becoming increasingly fierce. Many asset managers, including Canary Capital, Franklin Templeton, VanEck, Fidelity, Grayscale, CoinShares, and Bitwise, have submitted amended S-1 filings to the Securities and Exchange Commission (SEC).

These new filings are not entirely unprecedented proposals. Instead, they clarify previous filings, showing that issuers are maintaining an ongoing dialogue with regulators. Industry observers see this as a sign that important developments are taking place behind the scenes, even in the absence of approval signals from the SEC.

Changes in the filings are not just formalities. Some filings provide specific details about staking strategies, fee mechanisms, and liquidation processes. For example, the digital asset investment firm Grayscale announced plans to implement a 2.5% fee to be paid in Solana tokens. Other filings have also indicated how in-kind liquidation could occur, allowing for the conversion of ETF shares into Solana instead of cash.

Bloomberg analyst James Seyffart recently remarked that this new filing indicates the SEC is working with multiple companies at the same time.

The increase in the number of these applications demonstrates that Solana is becoming a reliable institutional-grade product. It is no longer regarded as a token solely for retail investors, but has attracted the interest of major regulators who are ready to package it for regulated markets. Furthermore, according to him, the implementation of Solana's GDP data proves that this network has begun to be recognized as legitimate in many areas, not just limited to financial products.

Marinade takes on the exclusive staking role while improving storage and transparency

One of the most important updates in the amendment filing of Canary Capital is the designation of Marinade Select as the exclusive staking provider for the anticipated Solana ETF, marking the first time a U.S. ETF outlines a clear and institutional-grade staking framework.

According to the records, the majority of the Solana holdings of the ETF will be staked with Marinade for at least two years. The staking rewards will be automatically compounded after fees are deducted, which will help increase the net asset value of the fund. This addition not only generates yield for the ETF but could also make this product more attractive to investors compared to purely passive cryptocurrency products.

Moreover, the documents have also provided specific details about the custody arrangements. The assets will be divided into hot wallets and cold wallets, with the asset holder retaining the private keys. Investors will not directly handle the tokens, but the documents also warn that custody risks, such as hacks or system failures, cannot be entirely eliminated. To ensure transparency, the ETF's website will publish daily information about the net asset value, a complete portfolio, and the trading status of the shares, including whether they are trading at a higher or lower price.

The updated records also include a discussion of the risks, adjusted to more fully reflect some recent allegations. They have also been supplemented with the possibility that validators may fail, the network may stop functioning, there may be cuts, or trust may overlook some forks and airdrops.

The staking rules shape the prospects of the Solana ETF

As many parties are adjusting their proposals and others are under review by regulators, the Solana ETF race is becoming more exciting than ever. A Solana ETF with benefits is likely to emerge, as most current cryptocurrency ETFs are purely products, except for Ethereum, where the SEC has shown more comfort due to the large amount of physical ETH.

The stakes in this race are very high. Approval from the SEC will open up opportunities for investors to access Solana in a regulated manner, similar to what they have done with Bitcoin and Ethereum. These ETFs will pave the way for the development of new yield-generating strategies within a regulated product, if staking capabilities are permitted.

This push reflects a broader trend in the asset management industry: cooperating with regulators rather than confronting them. Issuers are striving to comply with the standards set by the SEC by amending and clarifying their filings. For investors, this signals the possibility that Solana, a blockchain once seen as risky and experimental, is on its way to becoming a mainstream financial asset.

Although the results are still uncertain, the latest records show significant progress. The reaction of the SEC will not only affect Solana but could also determine the fate of cryptocurrency ETFs in America.

Mr. Giáo