Brazil’s CVM greenlights the first Solana ETF

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The CVM announced the approval of Brazil’s first Solana ETF on August 7. According to the CVM, the Solana-based ETF would be the first in Brazil and among the first in the world. The Brazilian SEC disclosed that the SOL ETF was in its pre-operational phase, awaiting B3’s greenlight. 

With the CVM’s approval, the ETF would be expected to follow the CME CF Solana Dollar Reference Rate created by CF Benchmarks with the CME’s (Chicago Mercantile Exchange) support. According to the CVM, Brazil was reinforcing its position as a global crypto investment hub, having introduced investment funds in Bitcoin and Ether since 2021.

Brazil approves the first Solana Spot ETF

The CVM confirmed that Brazil had become a pioneer in the Americas’ crypto investing space by giving the green light to its first Solana-based ETF. According to crypto commentator MartyParty, the ETF had begun raising funds from investors and formalizing contracts with service providers before it went live in 90 days.

The CVM affirmed that Brazilians could now invest in Solana as the U.S. was still figuring out how to overcome the U.S. SEC hurdle in allowing Solana ETFs. Information released by the CVM claimed that the new Solana ETF would be created by the investment manager QR Asset, and the local capital markets fintech Vortix would be responsible for its management. 

According to the CVM, a new digital economy era was unraveling across the world, and it would be counterproductive to waste time or lag. QR Asset’s chief investment officer, Theodoro Flerury, asserted that the Solana ETF’s approval reaffirmed the company’s commitment to offering diversification and quality digital asset services to investors in Brazil.

“We are proud to be global pioneers in this segment, consolidating Brazil’s position as a leading market for regulated investments in crypto assets.”

–Theodoro Flerry  

According to the CVM, Brazil had become ‘fertile ground’ for ETFs after B3 listed Ethereum and Bitcoin ETFs between 2021 and 2022 and the offering of BlackRock’s iShares Bitcoin Trust ETF (IBIT) in March 2024. 

The U.S. lags in the Solana ETF race

The CVM disclosed that similar requests from 21Shares and VanEck to the U.S. SEC asking for Solana ETF approval were still pending. Notably, JPMorgan’s analyst Nikolaos Panigirtzoglou doubted whether the U.S. SEC would approve Solana ETFs. 

Panigirtzoglou mentioned that further approvals were almost impossible unless U.S. policymakers passed legislation declaring cryptocurrencies non-securities. He emphasized that the ambiguity over Ethereum’s classification made the U.S. SEC’s approval of Ethereum ETFs contentious.

However, the founder and managing partner at EskensCrypto, Maarten de Jong, disclosed that the U.S. SEC could soon approve some more crypto ETFs, with expectations for XRP and Solana ETFs by 2025.

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