According to sources at Grayscale, the conversion of the trust into a spot ETF will offer investors secure exposure to Solana.
The proposed ETF by Grayscale is the largest Solana investment fund in the world. The fund manages approximately $134.2 million in assets and constitutes 0.0% of all Solana in circulation. At present, the fund functions as a trust, which implies that it is not yet an exchange-traded product (ETP).
According to sources at Grayscale, the conversion of the trust into a spot ETF will offer investors secure exposure to Solana. Interestingly, Solana has been one of the most notable cryptocurrencies in the past year. Therefore, trading on a national securities exchange would render it more enticing to investors.
The Solana ETF’s easy goal is to match the value of the SOL kept in the trust, minus any fees. It provides investors with an opportunity to acquire exposure to Solana without purchasing the cryptocurrency directly.
Grayscale is not the sole asset manager who is interested in a Solana ETF. The following investment firms have shown interest: VanEck, Canary Capital, 21Shares, and Bitwise. Nevertheless, Grayscale’s objectives extend beyond Solana. The asset manager has its sights set on a spot Litecoin ETF. This action indicates that Grayscale, like the majority of asset managers, is increasingly confident in the legitimacy of cryptocurrency as an investment.
Solana’s price has not been particularly appealing in recent times, despite its status as one of the most sought-after crypto assets. In the past 24 hours, SOL has experienced a significant decline, with an 11% decrease. Other significant cryptocurrencies, including Bitcoin, Ethereum, BNB, and XRP, have recently experienced substantial declines.
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