- Franklin Templeton has filed for a Solana ETF through the Chicago Board Options BZX Exchange (Cboe), with provisions to allow staking of the underlying SOL tokens.
- The application argues that not staking SOL would be equivalent to “an equity ETP refusing dividends,” positioning staking rewards as a fundamental right for fund holders.
- The SEC has recently delayed decisions on several altcoin ETF applications, including Solana products, with final approval deadlines extended until October 2025.
Asset management giant Franklin Templeton has joined the race for cryptocurrency exchange-traded fund approval, with the Chicago Board Options BZX Exchange (Cboe) submitting an application on its behalf for a Solana (SOL) ETF to the Securities and Exchange Commission on March 12.
The filing outlines plans for an investment vehicle that would hold spot SOL tokens, but notably advocates for permission to stake the cryptocurrency holdings—a feature that would allow the fund to earn additional SOL tokens as rewards while supporting the network’s operations.
"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," the application argues, framing staking rewards as a fundamental benefit that should be accessible to ETF investors.
Franklin Templeton’s move builds on its previous crypto market engagement, having registered a Solana trust on February 10. This positions the firm alongside other major asset managers including Grayscale, Bitwise, VanEck, 21Shares, and Canary Capital, all of which have filed applications for Solana investment products.
Solana has gained additional visibility in the U.S. financial landscape after being specifically mentioned by President Donald Trump as a candidate for inclusion in a proposed national cryptocurrency stockpile, though the administration later revised the plan to focus only on assets obtained through enforcement actions.
The wave of altcoin ETF applications accelerated following former SEC Chair Gary Gensler’s resignation in January 2025, with asset managers anticipating a more favorable regulatory environment. However, progress has been measured, as the SEC announced on March 11 that it would delay decisions on multiple altcoin ETF applications, including those for Solana, Litecoin (LTC), Dogecoin (DOGE), and XRP products.
Despite the delays, Bloomberg ETF analyst James Seyffart has indicated that such extended deliberation periods represent standard regulatory procedure rather than a negative signal. Seyffart maintains that approval for these products remains likely, noting that final decision deadlines extend to October 2025.
Franklin Templeton CEO Jenny Johnson has expressed optimism about cryptocurrency integration with traditional finance under the current administration. In a January 21 interview with Bloomberg, Johnson stated: "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."
This application follows Franklin Templeton’s earlier blockchain initiatives, including the launch of a U.S. government money market fund on the Solana Blockchain, demonstrating the asset manager’s continued exploration of cryptocurrency technology for traditional financial products.
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