Grayscale Investments has filed an application with the SEC to launch a spot Solana ETF, aiming to list it on the New York Stock Exchange under the ticker GSOL. The proposed ETF would transform Grayscale's existing Solana Trust, currently the largest Solana investment fund with $134.2 million in assets, into a publicly traded product.
The filing comes as Solana's blockchain network shows increasing adoption and price appreciation, with SOL reaching a new all-time high of $264 in November 2024 - a dramatic rise from just $8 in December 2022.
Industry heavyweights are backing the proposed ETF structure, with Coinbase Custody managing the secure storage of assets and BNY Mellon handling fund administration duties. Grayscale joins competitors VanEck and Bitwise who have also submitted Solana ETF applications, highlighting growing institutional interest in the blockchain platform.
The move follows Grayscale's earlier crypto ETF launches, which saw mixed results. While its Bitcoin ETF attracted substantial inflows of $31.06 billion, the Ethereum ETF gathered a more modest $597.55 million, demonstrating varying investor appetites for different digital assets.
Solana has recently outpaced Ethereum in key metrics like decentralized exchange volumes and DeFi activity. The network's technical performance and growing ecosystem have helped drive SOL's price up 277% over the past year, pushing its market capitalization above $112 billion.
If approved, the spot Solana ETF would provide both retail and institutional investors easier access to SOL exposure through traditional brokerage accounts, without requiring direct cryptocurrency custody. Market observers suggest approval could increase demand for the underlying asset and potentially drive further price appreciation.
The filing represents another step in cryptocurrency's integration with mainstream financial markets, as investment firms continue developing regulated products around digital assets.