The U.S. Securities and Exchange Commission (SEC) has acknowledged Grayscale’s filing for a Solana-based exchange-traded fund (ETF).

It is the first time the agency has engaged with an ETF proposal tracking a cryptocurrency that was once considered a security.

‘A Positive Sign’

The acknowledgment, relayed on February 6, caught many by surprise, given that just six weeks ago, the regulator, then led by former Chair Gary Gensler, asked the Chicago Board Options Exchange (CBOE) to withdraw similar Solana ETF filings.

Breaking the news on X, ETF expert James Seyffart pointed out that the regulator’s action was notable because it had previously refused to engage with other companies that had attempted to file SOL-based exchange-traded products. Further, he suggested it could be a “positive sign” for crypto firms, including exchanges, that the SEC has sued over claims that Solana is a security.

Eric Balchunas, Bloomberg’s senior ETF analyst, shared similar sentiments, calling it a “notable development” and adding:

“We are now in new territory, albeit just a baby step, but seemingly the direct result of leadership change.”

Earlier in the year, Seyffart had said that proposals for ETFs tracking the world’s fifth-largest cryptocurrency by market cap may face delays until 2026 because of ongoing lawsuits involving the classification of SOL as a security. The SEC had taken separate legal action against Binance and Coinbase, accusing the exchanges of offering unregistered securities for listing tokens such as Solana and Cardano.

Grayscale, the biggest digital asset manager in the world, first applied to convert its Grayscale Solana Trust into an ETF towards the end of last year. It launched the product slightly more than three years ago, and as of the start of this month, it had over 7 million shares outstanding.

Accepting its filing is just the first step in a lengthy process. The regulator now has a 240-day window to approve or deny the proposal.

CBOE Files XRP ETF Requests

Elsewhere, the CBOE has filed 19b-4 forms on behalf of several crypto investment firms, including Bitwise, Canary Funds, WisdomTree, and 21Shares, for XRP ETFs. The documents represent the next stage in the approval process, following the submission of S-1 registration statements.

While their validation is far from guaranteed, the SEC’s recent engagement with Litecoin ETF proposals suggests there could be a more favorable environment for crypto-based financial products going forward.