Volatility Shares Targets Solana Futures ETF in Latest SEC Filing

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As a seasoned crypto investor with a knack for spotting trends and a penchant for navigating the digital asset landscape, I find the recent wave of ETF applications intriguing. With my roots firmly planted during the early days of Bitcoin, I’ve witnessed the evolution of this market from a niche curiosity to a global phenomenon.

There’s an increasing number of applications for exchange-traded funds (ETFs) in the cryptocurrency sector, indicating a move towards broader acceptance and mainstream usage.

Recent filings include Solana futures ETF and Bitcoin-linked convertible bond fund, showcasing a shift toward diversified investment options.

Solana Futures ETF

On December 27th, Volatility Shares made a substantial move by submitting an application for a futures-based Exchange Traded Fund (ETF) focused on Solana. The intention is to profit from the increasing popularity of alternative cryptocurrencies.

The goal of this investment fund is to mimic the price fluctuations of Solana by concentrating on future contracts available on CFTC-regulated exchanges. It might also incorporate financial products tied to Solana, where the value arises from these investments. This method could attract more institutional involvement in Solana.

Currently, market analysts find the strategic timing of this submission intriguing since Solana futures aren’t widely available for trading. The potential approval of this ETF may pave the way for future Solana ETFs that trade with the spot price.

As a crypto investor, I can’t help but be taken aback. The fact that an ETF filing for Solana futures has been made, even though Solana futures don’t exist yet, seems remarkable. This could very well mean that Solana futures are on the horizon, which might suggest a positive outlook for the odds of investing in Solana spots. As Bloomberg ETF analyst Eric Balchunas put it.

A Wave of Bitcoin ETF Applications

Currently, there’s been an influx of applications for Bitcoin exchange-traded funds (ETFs). Notably, over the last two days, four separate applications have surfaced, as pointed out by Nate Geraci, president of ETF Store.

REX Shares is suggesting an Exchange-Traded Fund (ETF) focused on Bitcoin Corporate Treasury Convertible Bonds, which are bonds issued by companies that hold Bitcoins in their reserves. Meanwhile, Strive Asset Management intends to create a fund investing in the bonds of companies like MicroStrategy, well-known for their significant Bitcoin investments.

Bitwise too became a part of this movement by introducing the Bitcoin Standard Corporations ETF, which primarily aims to invest in firms that have Bitcoin as a component of their financial holdings.

Currently, ProShares is working towards getting approval for Exchange Traded Funds (ETFs) that are connected to significant indices such as the S&P 500 and Nasdaq-100, along with gold, but all valued in Bitcoin. This innovative strategy merges traditional investments with exposure to cryptocurrency via Bitcoin futures.

In essence, this strategy involves buying shares of stocks or gold and simultaneously selling USD while buying Bitcoin through Bitcoin futures. Geraci refers to such investments as ‘Bitcoin-hedged ETFs’.

These submissions reinforce the increasing belief in cryptocurrencies as a standard investment option. Experts predict that by 2025, we might witness a significant shift, as institutional investments pour into these novel funds. In fact, Spot Bitcoin ETFs have shown promising results this year, gathering approximately $35 billion in net inflows and managing assets worth more than $100 billion.

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2024-12-28 18:13