Franklin Templeton Pushes for Solana ETF As SEC Delays Crypto Fund Approvals

YEREVAN (CoinChapter.com) — The Chicago Board Options BZX Exchange (Cboe) has officially submitted an application on behalf of Franklin Templeton to list a Solana (SOL) exchange-traded fund (ETF) in the United States. According to the March 12 filing, the proposed ETF will hold spot SOL, and the firm is pressing the Securities and Exchange Commission (SEC) to allow staking of the fund’s holdings for additional rewards.

The application highlights that restricting SOL staking would result in the fund missing out on potential rewards. The filing compared staking rewards to stock dividends, stating,

“Not staking the Fund’s SOL would amount to waiving the Fund’s right to free additional SOL, an act analogous to an equity ETP refusing dividends from the companies it holds.”

Franklin Templeton Solana ETF SEC Filing Details: Cboe BZX Submits Form 19b-4 for Rule Change Approval. Source: SEC Franklin Templeton Expands Its Crypto Portfolio

Franklin Templeton took a step toward Solana-based investment products by registering a Solana trust on Feb․ 10. This move aligns the firm with other major asset managers like Grayscale, Bitwise, VanEck, 21Shares, and Canary Capital, who have also submitted applications for Solana-related financial instruments.

The growing interest in Solana ETFs signals a broader institutional shift toward alternative crypto investment vehicles. Solana’s regulatory status also attracted attention when former U.S. President Donald Trump initially considered including SOL in a proposed U.S. crypto stockpile. He later limited it to seized tokens from enforcement actions.

SEC Delays Crypto ETF Decisions

On March 11, the SEC announced delays for several altcoin ETFs. This included those based on Solana, Litecoin (LTC), Dogecoin (DOGE), and XRP. The agency stated that it needed more time to assess the regulatory implications of approving these investment products.

Bloomberg ETF analyst James Seyffart called the delay standard procedure. He emphasized that it does not impact the likelihood of eventual approval. He noted that the final decision deadline for these altcoin ETFs is set for October 2025.

SEC Delays Altcoin ETF Decisions: Bloomberg Analyst James Seyffart Weighs in on Solana, XRP, DOGE, and Litecoin. Source: X (@JSeyff) Franklin Templeton’s CEO Backs Crypto Integration

Franklin Templeton CEO Jenny Johnson has expressed confidence in crypto’s future within traditional financial systems. In addition, she believes a pro-crypto stance from the Trump administration could drive more integration between blockchain and established financial products.

“I do think that it’s likely that ETFs and mutual funds will ultimately be built on blockchain just because it’s an incredibly efficient technology,”

Johnson told Bloomberg in a Jan․ 21 interview.

Moreover, the Cboe BZX filing adds to the growing momentum for crypto ETFs, with asset managers anticipating favorable regulatory shifts in the coming years.