SEC Amends Complaint Against Binance, Is Solana ETF On The Cards?

The US Securities and Exchange Commission (SEC) is seeking to amend its complaint against Binance Holdings, Binance US, and Binance’s former CEO Changpeng Zhao aka CZ, according to a joint filing dated 30 July 2024.

BREAKING: 🇺🇸SEC is updating its complaint against #Binance, no longer focusing on proving tokens like #Solana are securities. pic.twitter.com/CJavKKL9i6

— Crypto India (@CryptooIndia) July 30, 2024

10 digital assets were previously mentioned by the SEC as securities in its lawsuit against Binance.

The list included Solana (SOL) Filecoin (FIL), Algorand (ALGO), Cardano (ADA), Polygon (MATIC), Cosmos (ATOM), The Sandbox (SAND), Decentraland (MANA), Axie Infinity (AXS) and COTI (COTI).

SEC Potentially Abandoning Its Securities Argument Against 10 Tokens Could Pave The Way For Future ETFs

As per the filing, the SEC and defendants have agreed on a timeline for the amended complaint. However, they still remain at odds over initiating discovery on claims that have previously survived pending the amendment’s resolution.

If the SEC decides to dismiss its claims that the aforementioned tokens in its lawsuit against Binance are securities, it could be a positive catalyst for any future crypto exchange-traded funds (ETFs) beyond Ethereum.

Recently, both VanEck and 21Shares filed for spot Solana ETFs in the US.

SOL being deemed a security was the companies’ major stumbling block. If that issue is indeed resolved, a Solana ETF could be next up.

SEC Not trying to prove Solana is a security is very nice

Now we can finally have a Solana ETF go live

The concern with the Solana ETF was exactly this, that Solana could be considered a security

So basically Solana ETF live soon

Watch Blackrock also file for it

— Cozy ⓣhe Caller 🔥💃🏻 (@cozypront) July 30, 2024

BlackRock Bearish On A Solana ETF

On the other hand, many experts believe that the SEC will not accept crypto ETFs besides Bitcoin and Ethereum.

Samara Cohen, BlackRock’s Chief Investment Officer for ETFs said on a potential Solana ETF, “not in the near-term”. In the same televised interview with Bloomberg, Cohen also said “we look at the criteria to see what meets the bar to be delivered in an ETF .. and what we hear from our clients, Bitcoin and Eth definitely meet that bar, I think it’ll be a while before we see anything else”.

BlackRock’s Head of Digital Assets, Robert Mitchnick, reiterated the firms stance when he spoke at the recent Bitcoin 2024 conference. He stated that although spot Ethereum ETFs were launched last week, they are unlikely to pave the way for other crypto ETFs. Mitchnick cited a lack of client interest for a crypto ETF beyond Ethereum and Bitcoin.

🚨 @BlackRock Doubts Solana ETF

Despite rising interest, Robert Mitchnick signals no immediate plans for a Solana ETF.

Meanwhile, SOL sees a 14% surge! 📈#BeInCrypto #CryptoNews #Solana #ETF pic.twitter.com/eTDvtQfUJP

— BeInCrypto (@beincrypto) July 29, 2024

Interestingly, since Ethereum ETFs went live on 23 July 2024, Solana (SOL) is up 2.2% whilst Ethereum (ETH) is down 3.4%, as per Coingecko.

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Disclaimer: Crypto is a high-risk asset class. This article is provided for informational purposes and does not constitute investment advice. You could lose all of your capital.

Disclaimer

Crypto is a high-risk asset class. This article is provided for informational purposes and does not constitute investment advice. You could lose all of your capital.
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