Franklin Templeton Files for Solana Spot ETF, Joining Growing List of Solana ETF Applicants
Franklin Templeton Enters the Race for Solana Spot ETF Approval
Franklin Templeton, a leading asset management firm, has officially filed for a Solana spot exchange-traded fund (ETF), becoming the latest addition to a growing list of firms seeking approval for a Solana ETF. The firm submitted its S-1 form to the U.S. Securities and Exchange Commission (SEC) on February 21, 2025, marking an important step in its efforts to launch a Solana-focused ETF. The application follows Franklin Templeton’s recent move into crypto ETFs, further strengthening its position in the digital asset market.
Franklin Templeton’s Strategic Move: Solana ETF Trust Formation
Earlier this month, on February 11, 2025, Franklin Templeton registered a Solana trust in the state of Delaware. This trust is poised to form the foundation for the new Solana ETF. According to the S-1 filing, the Cboe BZX Exchange will list the proposed ETF. Additionally, the firm revealed that it may stake some of the Solana (SOL) in the fund, with the staking rewards contributing to the fund’s income.
This filing positions Solana (SOL) as a key player in Franklin Templeton’s ETF portfolio, which already includes products like the Franklin Bitcoin ETF and Franklin Ethereum ETF. The launch of a Solana ETF could open new avenues for institutional investors seeking to gain exposure to the digital asset market, particularly those focused on altcoins.
The Growing Race for Solana ETFs: Six Firms Now Competing
With Franklin Templeton’s application, Solana now holds the record for the most ETF filings among altcoins, surpassing XRP, which has seen five filings. The filing marks the sixth effort for a Solana ETF, positioning it ahead of other potential altcoin ETFs such as those for Litecoin, XRP, Dogecoin, Polkadot, and HBAR.
Other firms competing for Solana ETF approval include major players like Grayscale, Bitwise, VanEck, 21Shares, and Canary Capital. These firms, like Franklin Templeton, have filed 19b-4 forms through exchanges that would list the ETFs, with most aiming for listings on the Cboe BZX Exchange. Grayscale, however, has already filed its 19b-4 form with NYSE ARCA.
The SEC’s approval process requires the agency to review both the S-1 and 19b-4 forms, and approval for the launch of these ETFs remains uncertain. However, recent reports from Bloomberg analysts indicate that there is a 70% chance that the Solana ETFs will receive approval, although the outcome may depend on new leadership at the SEC, which has made the agency’s approach to cryptocurrency somewhat less predictable.
SEC Overwhelmed with ETF Applications: The Future of Crypto ETFs
In addition to the Solana ETFs, Franklin Templeton has been active in the growing crypto ETF space. Earlier this month, the firm launched its EZPZ Bitcoin and Ethereum ETF on the Cboe BZX Exchange, which tracks an index of digital assets with 82% Bitcoin and 18% Ethereum. The launch of the EZPZ ETF follows the firm’s earlier success with the Franklin Bitcoin ETF and Franklin Ethereum ETF, both of which were introduced in 2024.
The SEC has recently been inundated with crypto ETF applications from a range of asset managers, signaling the increasing demand for cryptocurrency-based investment products. Bloomberg analysts James Seyffart and Eric Balchunas compiled a list of altcoins that are prime candidates for future ETFs, with Solana taking the lead in terms of filings. Other prominent digital assets like XRP, Dogecoin, and Polkadot are also seeing growing interest from asset managers.
As the SEC continues to review these applications, the market is watching closely. The approval of Solana ETFs could be a landmark event in the cryptocurrency space, as it would signal the increasing acceptance of altcoins alongside Bitcoin and Ethereum in mainstream investment products.
Conclusion: A Major Step for Solana’s Institutional Adoption
With Franklin Templeton’s filing for a Solana spot ETF, the altcoin continues to gain significant traction among institutional investors. The SEC’s approval of these products could pave the way for broader institutional exposure to Solana (SOL) and other altcoins, marking a significant milestone in the evolution of the cryptocurrency market.
As Solana ETFs make their way through the approval process, investors will be keeping a close eye on the SEC’s next moves. With strong backing from leading asset managers and a growing appetite for cryptocurrency-based financial products, Solana could soon become a central asset in institutional portfolios.
Stay updated on the latest crypto ETF developments and how they’re reshaping the future of digital asset investment.
