Gensler’s Last Move: SEC Likely to Block Solana ETFs, Experts Forecast
The U.S. Securities and Exchange Commission (SEC) is reportedly set to reject two proposed exchange-traded funds (ETFs) for Solana (SOL), according to Bloomberg’s senior ETF analyst, Eric Balchunas.
Balchunas suggested that this decision is part of outgoing SEC Chairman Gary Gensler’s legacy to the crypto sector.
Sources familiar with the matter have informed Fox News’ Eleanor Terrett that these rejections stem from Gensler’s stance, with the SEC not approving any crypto-related ETFs before he steps down on January 20, 2025. Balchunas anticipates that the issuers will reapply for the Solana ETFs once Paul Atkins takes over as SEC chair, a position recently confirmed by President-elect Donald Trump.
In response to the news, Gabor Gurbacs, former director of digital asset strategy at VanEck, remarked that Gensler’s departure is imminent. Balchunas humorously referred to the rejections as Gensler’s “parting gift.”
READ MORE: Crypto Adoption Surges as 400 Million Wallets Show Positive Balances
Bloomberg’s James Seyffart, however, argued that Gensler had little choice but to block the Solana ETFs, given the SEC’s ongoing lawsuits asserting that Solana is a security. He believes these applications will remain stalled until the new administration decides how to proceed with crypto-related legal matters. Seyffart now anticipates that the approval process for the Solana ETF will likely extend past his initial August 2025 estimate.
Seyffart also pointed out that the SEC’s recent filing in the Binance case might be the true “parting gift” from Gensler’s leadership. The SEC’s 81-page brief, which urges the court not to dismiss the lawsuit accusing Binance of offering unregistered securities, has drawn criticism.
Stuart Alderoty, Ripple’s chief legal officer, called out the SEC for recycling its earlier arguments, including the claim that crypto assets lack inherent value, which he deemed both unfounded and flawed.
Alexander Stefanov
Reporter at CoinsPress
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.
