- Bitwise and VanEck advocate SEC approval for liquid staking tokens.
- Liquid staking tokens boost capital efficiency.
- Potential increase in investor returns.
In a concerted effort, Bitwise, VanEck, and other stakeholders have urged the SEC to approve liquid staking tokens for Solana ETFs, enhancing investor returns and capital efficiency.
These tokens, particularly JitoSOL, could reshape Solana market dynamics by improving liquidity and reducing risks, pending the SEC’s decision.
Bitwise and VanEck are advocating for the inclusion of liquid staking tokens in Solana ETFs. Their proposal refers to prior SEC guidance and stresses the potential benefits of including staking in investment products.
Key players include Bitwise, VanEck, Jito Labs, Multicoin Capital, and Solana Policy Institute. JitoSOL, a prominent staking token, is central to the discussions, with advocacy on its inclusion for better investor returns.
The organizations argue that including liquid staking tokens enhances liquidity and minimizes risks, potentially offering higher returns for investors. This strategy could affect how investment products are structured moving forward.
If approved, the regulatory decision will establish a precedent for integrating staking tokens into ETFs, influencing both the financial landscape and investment strategies related to Solana and similar assets.
This advocacy could shift market dynamics by encouraging the development of additional staking tokens within investment trusts. Analysts are closely monitoring the SEC’s decision and its broader implications.
Historical guidance suggests that introducing these tokens might enhance investment options without categorizing staking as securities transactions. This positions blockchain developments strategically. As stated by Jito Labs:
“JUST IN: Jito Labs, Bitwise, Multicoin, VanEck, and Solana Institute urge the SEC to approve Liquid Staking Tokens in ETPs. They say LSTs boost liquidity, resilience, and cut risk, pushing for greenlight in upcoming Solana ETFs under new SEC rules.” – Source
