Recent speculation suggested that the Chicago Mercantile Exchange (CME) might be planning to introduce futures contracts for Solana. Additionally, there were reports indicating that financial giants like BlackRock were contemplating the launch of exchange-traded funds (ETFs) based on Solana.
However, these reports have since been debunked.
CME Verifies No Plans for Solana Futures
The exchange is not going to offer a Solana futures fund, which effectively puts an end to any plans for a Solana ETF anytime soon, according to a CME source close to the exchange. The CME Group's decision to oppose a Solana futures scheme is consistent with the current evaluations being conducted within the cryptocurrency derivatives market.
In parallel, Justin Bons of Cyber Capital provided commentary on the Solana network's state. Despite the persistent allegations, Bons has successfully tested over 20 transactions using Phantom, dispelling any negative information about the Solana network.
He believed that the failure of the transaction was caused by phony bot activity rather than the real user experience. Although Bons admitted that QUIC, the networking layer, was experiencing problems, upgrades have significantly increased its efficiency.
Potential Solana-Based ETF Is Delayed by Regulatory Obstacles
Additionally, ETF analyst James Seyffart of Bloomberg noted that major obstacles needed to be overcome before a Solana ETF could be introduced. He estimated that these obstacles would take years to remove because a regulated futures market is required, and the Commodity Futures Trading Commission is responsible for supervising this. Legislation in the shape of the FIT 21 bill would therefore also be required.
Seyffart also highlighted the issue of confusion stemming from the Securities and Exchange Commission's (SEC) classification of Solana as a security. Unlike Ethereum, which the SEC has not definitively labeled as a security, Solana's involvement in lawsuits against Coinbase and Kraken raises concerns about its classification as a security, posing challenges for the establishment of a Solana-based ETF.
May 2024, Cryptoniteuae