Ethereum and Solana Just Got a Huge Catalyst. Should You Buy Them With $1,000?

In legal terms, are cryptocurrencies considered securities, commodities, or something nobody can define? For many years, the answer to that question was ambiguous. But, on March 17, the Securities and Exchange Commission (SEC) and Commodity Futures Trading Commission (CFTC) published a ruling that officially classified 16 major cryptocurrencies, including Ethereum (ETH 3.47%) and Solana (SOL 4.12%).

Both coins are now “digital commodities,” which means they fall under the CFTC’s lighter-touch oversight rather than the SEC’s onerous securities framework. And the new regulatory guidance is a huge catalyst for both, suggesting higher prices ahead, so let’s investigate whether they’re worth buying with $1,000 right now.

Image source: Getty Images.

More than one legal fog is now lifted

Per regulators, there’s now a five-category taxonomy for crypto assets: digital commodity, digital collectible, digital tool, stablecoin, or digital security. Only digital securities remain under the SEC’s authority.

But for Ethereum and Solana, the most important element of the new regulations is the change to the rules governing staking. Both chains use proof-of-stake (PoS) consensus, in which holders lock up their coins for a period to validate transactions in exchange for yield. The SEC now considers all of the forms of staking to be “administrative” activities rather than securities offerings, provided that they don’t advertise a guaranteed yield or higher yields due to the managerial talent of the staking pool operator.

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CRYPTO: ETH

Ethereum

Today’s Change

(-3.47%) $-71.58

Current Price

$1992.12

Key Data Points

Market Cap

$240B

Day’s Range

$1972.03 - $2074.57

52wk Range

$1398.62 - $4946.05

Volume

19B

For reference, Ethereum’s staking yield runs roughly 3% to 4% annually, whereas Solana’s is a bit higher at about 5% to 7%. Whether those yields constituted unregistered securities offerings was an open question for years, and it’s now settled. Therefore, another important change is that crypto exchange-traded funds (ETFs) can now offer staking features without facing enforcement risk.

This is a big deal. Now, capital seeking a yield has a handful of different methods it can use to generate yield via Solana or Ethereum, all of which require them to either own those coins directly, or via an ETF which owns the coins on their behalf. So there’s now a real chance of a lot of new money flowing into both.

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CRYPTO: SOL

Solana

Today’s Change

(-4.12%) $-3.56

Current Price

$82.80

Key Data Points

Market Cap

$47B

Day’s Range

$82.14 - $86.89

52wk Range

$70.61 - $252.78

Volume

3.5B

Is this worth an investment?

The new regulatory catalyst makes the investment thesis for Ethereum and Solana a bit stronger, as they’re now more likely to attract significant institutional capital.

Plus, at their recent prices of $2,060 for Ethereum and $86 for Solana, both are well below their 2025 peaks of approximately $4,956 and $293. There’s not a big risk of buying them at the peak of the hype cycle for those who invest soon.

If you don’t yet have exposure to either coin, it’s worth buying $500 of each, provided that your portfolio is already diversified with safer investments. If you want to pick just one to invest $1,000 in, pick Ethereum for now – it’s a bit more established than Solana, so it’s slightly less risky.

ETH2.57%
SOL0.75%
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