Will Solana Or Dogecoin Be The Next Crypto ETF If The Ethereum ETF Is Approved?

As the financial markets eagerly anticipate the approval of the Ethereum ETH/USD Exchange-Traded Fund (ETF), discussions are already swirling about which cryptocurrency might be next in line for ETF consideration.

Industry experts suggest a varied and cautious outlook on the future of crypto ETFs, particularly those beyond Bitcoin BTC/USD and Ethereum.

Solana ETF: A Rocky Road Ahead

Bloomberg analyst James Seyffart highlighted the significant regulatory hurdles facing a potential Solana SOL/USD ETF.

“The SEC isn’t dancing around SOL’s status like they have ETH. Those lawsuits against COIN and Kraken and others flat out say ‘Solana is a security,’ which could very easily make this a very rocky road,” Seyffart tweeted.

This sentiment underscores the complexities involved with SOL’s classification and the substantial legal and regulatory barriers it faces.

Market Sentiment and Structural Challenges

Nate Geraci, President of ETF Store reinforced the notion that a SOL ETF is not on the immediate horizon.

“No SOL ETF until either CME-traded SOL futures exist or Congress puts a legit crypto regulatory framework in place,” Geraci asserted.

He further added, “Crypto ETF spigot turned off for a while after spot ETH ETF approval,” suggesting that the market might see a pause in new ETF approvals post-ETH.

Evan_ss6 also weighed in on the debate, emphasizing the structural challenges: “BTC and ETH will remain in a class of their own. SEC relied on a ~32 month sample period for correlation analysis between spot and CME futures. Given SOL CME futures do not even exist yet, my base case is SOL spot ETF will take at least 3 years.”

Also Read: VanEck’s Spot Ethereum ETF Listed On DTCC As SEC Decision Looms

Dogecoin ETF: Political Pressure and Market Speculation

While the path for a SOL ETF appears fraught with difficulties, there is a glimmer of optimism for a Dogecoin DOGE/USD ETF.

Andrew Kang noted the shifting political landscape, which could favor DOGE: “With significant political pressure for regulation of crypto to be officially bestowed upon the CFTC, the odds for a DOGE ETF look brighter than ever.”

However, despite this optimism, a Polymarket poll indicated only a 10% chance of a DOGE ETF being approved in 2024.

Nevertheless, the conversation remains active, with HORSE tweeting, “DOGE is a close 2nd,” indicating that Dogecoin is still a significant contender in the ETF race.

Looking Ahead: Benzinga's Future of Digital Assets Event

As the landscape for crypto ETFs continues to evolve, the upcoming Benzinga Future of Digital Assets event on Nov. 19 will provide a crucial platform for industry leaders, regulators, and investors to discuss these developments.

This event promises to offer deep insights into the future trajectory of digital assets, regulatory challenges, and investment strategies, making it an essential gathering for those looking to navigate the complexities and opportunities in this dynamic market.

Read Next: White House Won’t Veto Crypto Bill, But Seeks Stronger Consumer Protections

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