The debate over cryptocurrency exchange-traded funds (ETFs) in the United States has reached a turning point, with many arguing that the time for a Solana (SOL) ETF is long overdue. While Bitcoin and Ethereum have made their way into ETF products—albeit with limitations—Solana, the third-largest cryptocurrency by market cap and one of the most actively used blockchain networks, remains sidelined.
Hadley Stern of Marinade Labs recently voiced his frustration, comparing the lack of a Solana ETF to blocking investors from buying Amazon or Google during their early days. His argument is simple: Solana isn’t just another digital asset—it is a powerful blockchain network that is being widely used across decentralized finance (DeFi), NFTs, and even politically significant projects like Trump’s memecoin.
A Strong Case for a Solana ETF
Bitcoin (BTC) has become the digital store of value, while Ethereum (ETH) powers smart contracts and decentralized applications. However, Solana offers something different: high-speed, low-cost transactions, making it one of the most efficient blockchains in the industry.
Solana has already demonstrated its ability to handle billions in daily transaction volume, and its Proof of History (PoH) consensus mechanism provides scalability that surpasses many competitors. With the SEC approving Bitcoin and Ethereum ETFs, many experts believe it’s time for Solana to get its own spot in the ETF market.
Europe is Ahead—Why is the U.S. Lagging?
In Europe, investors already have access to crypto ETPs (Exchange-Traded Products) that include staking rewards—a feature the SEC has effectively banned from U.S.-based Ethereum ETFs. This restriction prevents American investors from earning staking rewards, putting them at a disadvantage compared to European investors who can generate passive income on their holdings.
Several firms, including Grayscale, VanEck, 21Shares, Canary Capital, and Bitwise, have already filed applications for a Solana ETF. Canary Capital’s proposal has even advanced to a second stage of SEC review, raising hopes that approval might be on the horizon.
Why Investors Want Solana Exposure
Unlike many other cryptocurrencies, Solana has proven real-world utility beyond speculative trading. Its ecosystem is growing rapidly, with applications ranging from DeFi to real-world asset tokenization. Institutional interest is also rising, with Solana-based projects attracting significant capital.
Given its strong fundamentals, excluding Solana from the traditional investment landscape is a missed opportunity. If the SEC truly aims to modernize financial markets, approving a Solana ETF should be a priority.
Final Thoughts
The Biden administration was largely cautious toward crypto, but under Trump, the U.S. is rapidly shifting toward pro-crypto policies. The first-ever White House Crypto Summit signaled a willingness to embrace blockchain innovation. If this trend continues, the SEC may soon approve Solana ETFs, giving both retail and institutional investors easier access to one of the most promising blockchain networks today.
With Ethereum and Bitcoin ETFs already in the market, Solana is the next logical step—and the U.S. shouldn’t fall behind.
