Solana ETF Race Heats Up as Grayscale Files with SEC for GSOL Launch

Grayscale Investments has filed a 19b-4 with the SEC to convert its Solana Trust into a spot ETF. With $134M under management, GSOL could lead the way in a fiercely competitive crypto ETF market.

Grayscale Files for Spot Solana ETF Approval

An application to establish a spot Solana exchange-traded fund (ETF) has been submitted by digital asset management Grayscale Investments to the US Securities and Exchange Commission.

As per a 19b-4 filing with the SEC on Dec. 3, the Grayscale Solana Trust, trading under the ticker GSOL, would be able to be listed on the New York Stock Exchange if approved.

Like Grayscale's previous forays into exchange-traded funds (ETFs) for Bitcoin and Ethereum, the proposed ETF will transform the current Grayscale Solana Trust into a spot ETF.

With about $134.2 million in assets under management, "The Trust is the world’s largest Solana investment fund by assets under management as of the date of this filing," as stated in the statement.

Coinbase Custody and BNY Mellon’s Role in GSOL

The Solana it contains, as pointed out by Grayscale, accounts for about 0.1 percent of the total SOL in circulation.

According to the filing, Grayscale's spot Solana ETF would be held by Coinbase Custody as custodian, and the Trust would be administered and transferred by BNY Mellon Asset Servicing, a division of The Bank of New York Mellon.

Along with Franklin Templeton, Grayscale is competing with 21Shares, Canary Capital, VanEck, and Bitwise to get the SEC to approve a spot SOL ETF.

Competition Intensifies Amid Solana’s Price Surge

Cointelegraph points out that Grayscale must submit an S-1 registration statement with its 19b-4 filing, which notifies the SEC of a proposed rule change by a self-regulatory entity such as a stock exchange or financial regulatory authority.

Grayscale may list GSOL on a public stock exchange if the S-1 form was approved.

The cryptocurrency's 277% price surge in the previous 12 months has brought its market worth above $112 billion, intensifying competition to float a spot Solana ETF.

The price of Solana has increased by nearly 4% since Grayscale filed their 19b-4, and it is now selling at $238.

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