Solana ETF Cboe BZX’s 19b-4 filings face rejection from the United States Security and Exchange Commission based on two basic reasons.

On July 8, Solana, VanEck, and 21 shares submitted a 19b-4 filing for the United States SEC’s approval to launch Solana for trade on CBOE. The first reason for not getting the approval can be the stance of the SEC on Solana.

Previously SEC marked some of the digital assets as securities and Solana is one of them, this is the second major cause for not getting approval from the authorities. As a result, Solana withdrew its application from the Cboe website, as it is the second time the authorities have rejected it.

The 19b-4 filings are made by exchanges such as Cboe on behalf of the issuers and set off the approval process when they appear in the Federal Register. Instead, the S-1 registration statement that issuers can file directly does not trigger any particular timetables.

As the United States SEC rejected the 19b-4 filing, the asset cannot get itself registered in the Federal Register and cannot start the process for proper approval or denial.

SEC Challenges Solana ETF Filings

At the moment, 21Shares and VanEck are likely to be the first movers with a Solana ETF. It appears that 21Shares has dialed down on its use of the form as the document is no longer available on the SEC database EDGAR. On the other hand, VanEck’s form is still published, and the firm’s head of research, Matthew Sigel, claims it is still being discussed.

Nonetheless, even though the 19b-4 rejections mean a halt in the short term, those rejections could be refilled or reworked with even more solid reasons as to why Solana is not a security in the near term.

Audrey Belloff, head of communications at 21Shares said:

We are unable to comment on the regulatory process at this time. We remain committed to expanding investor access to cryptocurrencies in the U.S. market and around the world,