DTCC lists first Solana futures ETFs from Volatility Shares

Coinbase has launched CFTC-regulated Solana futures contracts, a crucial step toward potential Solana ETF approvals.

Key Takeaways

• Two Solana futures ETFs from Volatility Shares have appeared on DTCC.
• The ETFs provide 1x and 2x leveraged exposure to Solana futures contracts.

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The Depository Trust & Clearing Corporation (DTCC) has listed the first Solana futures ETFs from Volatility Shares — the Volatility Shares 2x Solana ETF (SOLT) and the Volatility Shares Solana ETF (SOLZ).

Being added to the DTCC means that these ETFs are eligible for clearing and settlement through this central infrastructure, which is essential for efficient and reliable trading. However, the listing doesn’t equate to SEC approval of the investment products.

Last December, Volatility Shares, specializing in exchange-traded funds (ETFs) focused on volatility-based investment strategies, filed with the SEC for three new ETFs that would track Solana futures contracts.

In addition to the two products listed on DTCC, the firm is also seeking regulatory approval for its -1x Solana ETF, which would offer inverse exposure, gaining value when Solana futures contracts decline.

The move sparked curiosity since there were no Solana futures contracts available on CFTC-regulated exchanges at the time.

However, according to Bloomberg ETF analyst Eric Balchunas, it was a strong indication that Solana futures were coming soon.

Earlier this month, Coinbase Derivatives LLC launched CFTC-regulated Solana futures contracts. These contracts are seen as an important step towards potential approval of Solana ETFs in the future.

Coinbase’s launch came after a leaked Chicago Mercantile Exchange staging website suggested XRP and Solana futures could start trading on February 10, pending regulatory approval.

CME Group, however, clarified that no official decision has been made regarding these contracts. A CME spokesperson attributed the leak to an “error” and noted that they are still in the evaluation phase of these potential products.

The availability of regulated Solana futures contracts provides institutional investors with a more secure and structured way to trade Solana, bridging the gap between traditional finance and the crypto market.

The potential approval of a Solana leveraged ETF could increase the likelihood of a spot Solana ETF being approved in the future.

The SEC has confirmed receipt of multiple filings for spot Solana ETFs from 21Shares, Bitwise, Canary, and VanEck.

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