Solana ETFs might experience substantial demand following the SEC’s recent approval of Ethereum ETFs, despite ongoing regulatory challenges classifying SOL as a security.

The SEC's approval of Ethereum ETFs on May 23, 2024, is a major milestone for the cryptocurrency industry. Analysts anticipate that Solana ETFs could see high demand as a result of this regulatory shift, which could also open doors for other cryptocurrencies like Litecoin and Dogecoin to potentially follow suit.

**Impact of SEC’s Decision on Solana**

The approval of Ethereum ETFs by the SEC, which came after previous approval of Bitcoin ETFs influenced by a court decision, marks a pivotal moment. This approval may lead to increased liquidity for Ethereum as traditional finance entities engage more with the crypto market.

Moreover, this regulatory decision sets a precedent for other cryptocurrencies. Solana is seen as a strong candidate to benefit next from this trend, potentially seeing its own ETF approval soon.

**SEC’s Regulatory Consistency**

The SEC's decision came amid pressure from U.S. lawmakers, including Rep. French Hill and House Majority Whip Tom Emmer, who advocated for consistent application of rules across different cryptocurrencies. They argued that the approval logic used for Bitcoin ETFs should also apply to Ethereum ETFs and potentially to other crypto ETFs, such as Solana's, making it the most likely next candidate for an ETF approval.