Jito Labs, Bitwise, Multicoin Capital, VanEck, and the Solana Institute have submitted a public letter to the U.S. Securities and Exchange Commission (SEC), requesting approval for the use of liquid staking tokens (LST) in exchange-traded products (ETPs). The letter specifically targets the pending Solana ETF applications of eight major issuers. The companies argued that LSTs provide capital efficiency, operational resilience, and enhanced risk management, and that this approach aligns with the SEC's recently announced guidelines for in-kind creation and redemption processes for cryptocurrency ETPs. Related News: BREAKING: Coinbase Announces Plans for a Strong New Push into Cryptocurrencies - Here Are the Details Applicants state that LST integration will provide investors with a more flexible and secure product while also supporting the development of the Solana ecosystem. Spot ETFs for Bitcoin and Ethereum are already trading on exchanges and are notable for their high inflow rates. The SEC recently approved in-kind refunds for Bitcoin and Ethereum spot ETFs. This approval is expected to apply to Solana as well if the ETF is approved. *This is not investment advice. Continue Reading: Letter from Major US Cryptocurrency Companies to the SEC Regarding Solana (SOL) – Here’s What It Says
