The U.S. Securities and Exchange Commission (SEC) has reportedly rejected Solana (SOL)-based exchange-traded fund (ETF) applications in the final weeks of Gary Gensler’s tenure as chairman of the regulator.
Fox Business journalist Eleanor Terrett, citing unnamed sources: say the SEC has notified at least two of the five SOL ETF applicants that their filings will be rejected.
Terrett also says the current SEC administration has no plans to greenlight any of the other applications.
Financial firms VanEck, 21Shares, Canary Capital and Bitwise have all applied to offer SOL ETFs, and crypto asset manager Grayscale also recently applied to convert its Solana Trust into an exchange-traded fund.
Eric Balchunas, senior ETF analyst at Bloomberg, predicts the companies will do that reapply with the new SEC regime next year.
“This was it [Gensler’s] parting gift I think.”
Following Donald Trump’s election victory last month, Gensler announced he would resign in January, on the president-elect’s inauguration day. The SEC chairman’s term would run until 2026.
Under Gensler’s leadership, the securities watchdog launched high-profile enforcement actions against many crypto companies, including industry giants Binance, Kraken, Coinbase, Ripple Labs, Uniswap Labs and Consensys.
Trump chose former SEC commissioner and current Patomak Partners CEO Paul Atkins to head the regulatory agency.
In 2022, while at Patomak, Atkins written a letter noting that as Americans become more familiar with crypto assets, they may become interested in purchasing them for their retirement plans.
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