Canary Capital has ignited the ETF race by filing with the SEC for a spot Solana ETF, aiming to offer investors streamlined access to SOL through brokerage accounts. This marks a major step, following similar bids by asset giants VanEck and 21Shares earlier this year.

Canary Capital Enters the Race for a Spot Solana ETF

Just like VanEck and 21Shares before it, crypto asset management Canary Capital has applied for a spot Solana ETF with the SEC.

The spot Solana ETF would follow the price of SOL via the CF Solana index, a product that tracks prices in real-time, according to Canary's explanation in an S-1 registration statement submitted on Oct. 30.

A New Avenue for Solana Investors

Without the risks and possible entry obstacles associated with holding SOL directly, investors might gain access to the Solana market through a conventional brokerage account with Canary's proposed spot Solana ETF.

After Bitcoin and Ethereum in January and July, respectively, the SEC is expected to approve a spot ETF for Solana.

VanEck and 21Shares Lay the Groundwork

On June 27 and 28, respectively, asset managers VanEck and 21Shares also submitted applications for a U.S. spot SOL ETF.

Also, Franklin Templeton is keeping an eye out for a slot SOL ETF.

Key Details Remain Under Wraps

Canary was mum on the subject of the spot SOL ETF's custodian and listing ticker designations.

According to Cointelegraph, the most recent filing by the company follows two others by Canary Capital, which were S-1s for a spot XRP ETF on Oct. 8 and a spot Litecoin ETF on Oct. 15, one week apart.

Market Reaction to the Latest Filing

According to CoinGecko, the price of Solana increased somewhat due to the news, but it has since fallen 2.3% to $174.6.

Even after taking layer 2 chains into consideration, Solana's active address market share is far higher than Ethereum's and the Binance Chain's, as pointed out by Canary in a post from Oct. 29.

Canary’s Founding Vision and Future Plans

Canary was established by Steven McClurg, who was formerly the managing director of Galaxy Digital, created by Mike Novogratz, and one of the founders of Valkyrie Funds.

After introducing its first trust service, the Canary HBAR Trust, on Oct. 1, the company stated, "We founded Canary to lead the way for the next iteration of actively managed and passive crypto-related offerings with a focus on risk management and adaptive, strategic foresight."