CME Group revealed the Solana (SOL) futures launch on Mar. 17, pending regulatory approval, citing rising consumer demand. Nate Geraci, CEO of The ETF Retailer, famous that the event “undoubtedly bodes nicely” for SOL exchange-traded fund (ETF) prospects.
In keeping with a Feb. 28 assertion, the brand new Solana futures contracts can be out there in two sizes: a 25 SOL micro-contract and a 500 SOL bigger contract.
CME Group acknowledged that these choices are designed to accommodate a variety of market individuals, from institutional traders to energetic merchants.
Giovanni Vicioso, world head of cryptocurrency merchandise at CME Group, highlighted that the launch goals to deal with rising consumer demand. He added:
“As Solana continues to evolve into the platform of alternative for builders and traders, these new futures contracts will present a capital-efficient device to help their funding and hedging methods.”
Furthermore, trade figures similar 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 can be cash-settled and benchmarked in opposition to the CME CF Solana-Greenback Reference Price. The reference fee offers a standardized each 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 may increase the possibilities of an SOL ETF approval.
In keeping with Bloomberg ETF analysts Eric Balchunas and James Seyffart, the percentages of a Solana ETF being authorised within the US this yr are 70%. The SEC just lately acknowledged spot SOL ETF filings from 5 issuers earlier in February.
The paperwork had 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 may seize $3 billion to $6 billion in web flows.
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