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The SEC responded shortly after the issuers filed effective registration amendments for staked SOL and Ether exchange-traded funds.<\/p>\n
The United States Securities and Exchange Commission (SEC) responded to the effective registration amendment for Solana (SOL) and Ether (ETH) staked exchange-traded funds (ETFs) from ETF provider REX Financial and asset management firm Osprey Funds, raising concern that both investment vehicles do not qualify as ETFs due to their unique structures.<\/p>\n
According to a recent report from Bloomberg<\/a>, the regulators say the c-corp business structure used in the funds, which is incredibly rare for ETFs, conflicts with the 6C-11 rule, colloquially known as “the ETF rule.” This regulation legally designates the types of corporate structures app<\/a>ropriate for exchange-traded funds. The SEC wrote in a May 30 letter<\/a>:<\/p>\n “Disclosures in the registration statement regarding the Funds\u2019 status as investment companies may be potentially misleading,” the letter continued.<\/p>\n Read more<\/p>\n<\/p>\n If you liked the article, do not forget to share it with your friends. Follow us on\u00a0Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n If you want to read more News<\/a> articles, you can visit our General category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n\n