CME Group revealed the Solana (SOL) futures launch on Mar. 17, pending regulatory approval, citing growing shopper demand. Nate Geraci, CEO of The ETF Retailer, famous that the event “positively bodes effectively” for SOL exchange-traded fund (ETF) prospects.
Based on a Feb. 28 assertion, the brand new Solana futures contracts might be accessible in two sizes: a 25 SOL micro-contract and a 500 SOL bigger contract.
CME Group said that these choices are designed to accommodate a variety of market members, from institutional traders to energetic merchants.
Giovanni Vicioso, world head of cryptocurrency merchandise at CME Group, highlighted that the launch goals to deal with growing shopper demand. He added:
“As Solana continues to evolve into the platform of selection for builders and traders, these new futures contracts will present a capital-efficient software to assist their funding and hedging methods.”
Furthermore, trade figures corresponding to Multicoin Capital’s Kyle Samani and Bitwise’s Teddy Fusaro famous that introducing SOL futures is an indication of market maturation, as refined instruments to handle crypto publicity are wanted.
CME Group’s Solana futures might be cash-settled and benchmarked in opposition to the CME CF Solana-Greenback Reference Price. The reference fee supplies a standardized every day valuation of Solana in US {dollars}.
ETF odds boosted
Analysts view futures contracts as a spot crypto ETF approval requirement, as Bitcoin (BTC) and Ethereum (ETH) have adopted this path. Gaining futures contracts might increase the possibilities of an SOL ETF approval.
Based on Bloomberg ETF analysts Eric Balchunas and James Seyffart, the chances of a Solana ETF being accredited within the US this 12 months are 70%. The SEC not too long ago acknowledged spot SOL ETF filings from 5 issuers earlier in February.
The paperwork have been later included within the Federal Register between Feb. 12 and 18, which means the SEC now has 240 days to answer the filings, ending on Oct. 16.
JPMorgan’s estimate, primarily based on Bitcoin and Ethereum ETFs’ flows, predicted that Solana ETFs might seize $3 billion to $6 billion in internet flows.
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