JPMorgan, a prominent global investment bank, has expressed skepticism regarding the approval of solana ETFs or any other spot crypto ETFs beyond bitcoin and ether by the U.S. Securities and Exchange Commission (SEC). JPMorgan’s analyst stated that the decision to approve ether ETFs is already questionable due to the uncertainty surrounding whether ethereum should be classified as a security or not.
The recent approval of spot ethereum exchange-traded funds by the SEC has sparked discussions about the potential for other spot crypto ETFs, including XRP and solana. However, JPMorgan’s managing director and global market strategist, Nikolaos Panigirtzoglou, remains doubtful.
Panigirtzoglou stated that he doesn’t believe the SEC would go further and approve solana or other token ETFs, as the SEC holds a stronger opinion that tokens outside bitcoin and ethereum should be classified as securities.
He emphasized the controversial nature of the SEC’s decision on ethereum ETFs, suggesting that it may have been politically influenced. Panigirtzoglou explained that unless U.S. policymakers pass legislation defining most cryptocurrencies as non-securities, the SEC is unlikely to approve other spot cryptocurrency ETFs.
Many within the crypto industry, including spot ether ETF issuers, were surprised by the SEC’s approval of their applications. Prior to the approval, Panigirtzoglou estimated a 50% chance of the SEC approving spot ether ETFs. However, on May 23, the SEC approved eight 19b-4 forms for spot ether ETFs.
SEC Chairman Gary Gensler has consistently stated that most crypto tokens, excluding bitcoin, are considered securities. He has not explicitly confirmed whether ether is classified as a security or not. A recent court document revealed that the SEC initiated a formal investigation into ether’s potential status as a security last year.
The article concludes by inviting readers to share their opinions on whether they believe the SEC will approve solana ETFs or other spot crypto ETFs in the near future.
