Tomorrow, November 20th, asset management company 21Shares’ Solana Exchange Traded Fund (ETF) will debut on the US market.
The news was confirmed following recent registration approval by the CBOE Global Markets Equity and Derivatives Exchange.
This is the sixth Solana-based ETF on the market. at the moment, Financial products managed by Bitwise, Grayscale, VanEck, Fidelity and Canary Capital are already listed.
21Shares ETF trades under the ticker TSOL. Annual management fee 0.21%as reported, is automatically deducted from the fund’s value.
As reported by CriptoNoticias, the Solana ETF has performed well since its market launch on October 28, with more than $420 million in inflows.
If the strong performance of these financial products continues, can have Direct impact on SOL price. Management companies that manage these ETFs need to acquire the underlying assets that back their holdings.
As demand for the ETF increases, the issuer will need to buy more SOL in the market, which could cause the price to rise due to the law of supply and demand.
On the other hand, it must be mentioned that ETFs increase asset visibility, attract liquidity, and encourage the entry of institutional capital. This is because they are operated in the same way as traditional stocks.
