The US Securities and Exchange Commission (SEC) made a remarkable move yesterday and decided to change its criminal complaint against Binance.
While this change was considered positive and concerned many altcoins such as Solana (SOL), ETF Store CEO Nate Geraci and some analysts argued that this change did not affect Solana and ETFs.
What are the Requirements for Approval of Spot Solana ETFs?
At this point, Nate Geraci claimed that the SEC's change in the Binance complaint would not affect the approval of the spot Solana ETF.
Geraci noted in his
Explaining the requirements for a spot SOL ETF to be approved, Geraci added that one of these conditions must be met for the SOL ETF to be approved:
“You still need 1 of the following:
-Solana futures traded on CME with long enough trading history (probably the longest path)
-Comprehensive crypto regulatory framework (long haul)
-Change of management (fastest way)”
SEC's Binance Move is Tactical!
Apart from Geraci, Jake Chervinsky, Chief Legal Officer of cryptocurrency venture capital company Variant Fund, also said that the change in the SEC's Binance complaint does not remove uncertainty for Solana and altcoins.
Pointing out that the status of SOL and other altcoins mentioned in the first complaint remains unclear, Chervinsky said, “The SEC did not definitively decide that Solana is not a security, although it changed its complaint in the Binance case.”
Stating that there is no reason to think that the SEC has decided that SOL is not a security, Chervinsky pointed out that the SEC still qualified altcoins such as BUSD, SOL, ADA and MATIC as securities in other cases, including the Coinbase case.
“There is no reason to think that the SEC has determined that SOL is not a security.
Their refusal to investigate a dozen tokens in the Binance case appears to be a litigation tactic, not a change in policy.
Note that the SEC still calls these tokens securities in other cases.”
There is no reason to think SEC has decided SOL is a non-security.
That they don't want to do discovery on a dozen tokens in the Binance case appears to be a litigation tactic, not a change in policy.
Note the SEC still calls these tokens securities in the other exchange cases.
— Jake Chervinsky (@jchervinsky) July 30, 2024
*This is not investment advice.
