Leading crypto firms Galaxy Digital, Multicoin Capital, and Jump Crypto are planning to create a $1 billion Solana treasury, supported by the Solana Foundation, with the goal of establishing the largest corporate Solana reserve by acquiring a publicly traded company.

This initiative reflects growing institutional interest in Solana, exemplified by supply chain firm Upexi holding over 2 million SOL worth approximately $400 million, and DeFi firm Development Corp holding 1.29 million SOL worth around $240 million.

The project remains in the discussion stage, with details such as size, structure, and timeline still being finalized, but a targeted closing date in early September is anticipated.

The plan involves acquiring a listed entity, with ongoing discussions and approval from the Solana Foundation, and is expected to close in early September, contingent on market and regulatory conditions.

If successful, this treasury could provide a new public-market route for institutional investors to gain indirect exposure to SOL and serve as a scalable model for future altcoin treasuries.

Experts predict a 90% chance of ETF approval for Solana this year, which could further boost institutional adoption and liquidity.

The rising on-chain trading activity on Solana, accounting for about 48% of decentralized exchange volume mainly driven by retail traders, makes it an attractive asset for liquidity and growth.

The proposed $1 billion reserve aims to bolster Solana's recovery post-FTX collapse and could influence market dynamics, with SOL trading near $200 and recent volatility suggesting potential short-term rebounds.

Existing firms involved, such as Galaxy Digital and Multicoin Capital, have long-term commitments to Solana, with Galaxy launching index funds and Multicoin emphasizing Solana's throughput and vertical integration.

Cantor Fitzgerald is managing the initiative as the lead banker, with discussions ongoing to acquire a publicly traded entity, likely a Toronto-listed firm planning to file for Nasdaq listing, with a closing targeted for early September.

While the purpose of the acquired tokens remains undisclosed, their accumulation signals strong belief in Solana's future role in crypto adoption, serving as a market indicator.

The success of this treasury will depend on investor interest, regulatory clarity, and ongoing confidence in Solana's performance and use cases.