Recently, the Crypto Assets industry has welcomed an important initiative. On July 31, several well-known institutions jointly submitted an open letter to the U.S. Securities and Exchange Commission (SEC), urging the regulatory body to consider including liquid staking tokens (LST) in cryptocurrency ETFs.

This open letter, jointly signed by Jito Labs, Bitwise, Multicoin Capital, VanEck, and the Solana Policy Institute, primarily addresses the eight Solana ETF applications currently under review. These institutions believe that incorporating LST into ETF products can bring multiple benefits.

According to reports, the open letter emphasizes the potential of LST in enhancing capital efficiency, increasing operational flexibility, and optimizing risk management. These advantages align with the requirements for physical subscription and redemption outlined in the SEC's recent cryptocurrency ETF guidelines.

This move reflects the positive response of the Crypto Assets industry to regulatory policies, while also demonstrating the industry's continued pursuit of innovative financial products. With more and more institutions participating in discussions about Crypto Assets ETFs, we can expect the gradual improvement of the regulatory environment in the future, as well as the emergence of more innovative products that meet investor needs.

It is worth noting that the submission of this open letter coincides with the gradual warming of the Crypto Assets market, reflecting the industry's confidence in future development. However, the SEC's final decision remains to be seen, and investors and market participants need to closely monitor subsequent developments.