Update (June 26, 1:26 am UTC): This article has been updated to add information from Invesco’s filing and analyst commentary.
The US could get nine Solana exchange-traded funds if regulators approve, as asset manager Invesco joined the group of firms looking to push exchange-traded products beyond Bitcoin and Ethereum.
In a regulatory filing on Wednesday, Invesco and Galaxy Digital put forward the Invesco Galaxy Solana ETF, which aims to track the spot price of Solana (SOL), currently the sixth-largest cryptocurrency by market cap.
It’s the ninth filing for a Solana-tracking ETF, joining bids from the likes of VanEck, Bitwise and crypto ETF giant Grayscale.
The firms are looking to test the market’s appetite for so-called altcoins after the big success of Bitcoin ETFs launched in early 2024 and milder wins for funds tied to Ether (ETH) that launched later that year.
The Trump administration has promised to ease regulations on crypto, setting off a wave of optimism through the sector that has seen Bitcoin (BTC) hit new highs and triggered a slate of public companies to collectively raise billions to invest in Bitcoin long-term.
Invesco Galaxy fund to directly hold Solana
Invesco and Galaxy’s filing is a Form S-1 registration statement that tells the Securities and Exchange Commission it plans to launch a security, and it lays out that the planned ETF plans to directly hold Solana — the same as other competing ETFs.
Coinbase Custody, the crypto custody arm of crypto exchange Coinbase, would hold the underlying Solana, and the fund would aim to “reflect the performance of the spot price of Solana.”
The ETF plans to trade on the Cboe BZX exchange under the ticker “QSOL.”
The firms will need to submit Form 19b-4, which proposes a rule change to the SEC, for the agency to begin the process of considering approving the ETF.
ETF could stake SOL
The filing said that Invesco and Galaxy could “from time to time, stake a portion of the Trust’s assets through one or more trusted staking providers.”
It added that the ETF would receive a reward of more Solana tokens for locking up some of the fund’s SOL, which “may be treated as income to the Trust.”
Other asset managers bidding for a Solana ETF updated their registration statements earlier this month to include language and provisions for staking.
Solana ETFs could be approved as soon as July
Bloomberg ETF analyst James Seyffart said in a note on June 10 that the SEC “may act early on spot Solana and staking ETF filings” and could approve them in July alongside ETFs tracking a basket of cryptocurrencies.
Related: ETH ETF flows impress, but Ether futures data suggest traders exercise caution
Bloomberg senior ETF analyst Eric Balchunas commented at the time to “get ready for a potential altcoin ETF summer with Solana likely leading the way.”
The analysts have given a 90% chance that the SEC will approve the Solana ETF filings. The regulator’s final deadline to approve the products is Oct. 10, and it’s likely all Solana ETFs will launch concurrently to avoid giving one an advantage.
Along with VanEck, Bitwise, Grayscale, and now Invesco, the other Solana ETF bidders are 21Shares, Canary Capital, Bitwise, Franklin Templeton and Fidelity Investments.
All nine issuers besides Canary Capital have launched spot Bitcoin and Ether ETFs, while Canary has submitted a flurry of ETF filings looking to track altcoins.
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