Solana News Update: SEC's Staking Guidance Opens Door to $69.5M Solana ETF Inflows, Signaling a Change in Institutional Adoption
- Bitwise's BSOL ETF raised $69.5M on its NYSE debut, becoming the first U.S. spot Solana ETF offering 7% staking yields post-SEC PoS clarity. - BSOL outperformed rival SSK ($12M) by leveraging Solana's high-throughput blockchain and a 0.20% fee (waived initially), contrasting SSK's 0.75% expense ratio. - SEC's May 2024 guidance on non-securoty PoS activities enabled regulated staking products, accelerating institutional adoption of altcoin ETFs. - JPMorgan forecasts $3-8B in Solana/XRP ETF inflows within
The Bitwise
BSOL outperformed its nearest rival, the REX-Osprey Solana Staking ETF (SSK), which saw $12 million in trading volume on its first day, a comparison noted by
The SEC issued a staff statement on May 29 clarifying that certain PoS activities, such as staking, are not considered securities offerings under U.S. law. This guidance, which was broadened in August to include liquid staking, paved the way for regulated staking products like BSOL. Bloomberg ETF analyst Eric Balchunas described the $222.8 million in assets before launch as “exceptionally high for a new crypto ETF,” a point also mentioned by
BSOL stands apart from conventional spot ETFs by incorporating staking rewards directly into the fund. Bitwise stakes all its
The ETF’s strong debut is in line with broader trends in crypto ETFs. U.S. spot
Changes in regulations during the U.S. government shutdown also helped facilitate BSOL’s introduction. SEC procedural rules allowed the ETF’s S-1 registration to automatically become effective after 20 days, sidestepping delays caused by staff shortages—a situation described in a
Grayscale’s Solana Trust (GSOL) is scheduled to convert to a spot ETF on October 29, broadening institutional access to Solana’s network. Kristin Smith, president of the Solana Policy Institute, emphasized the ETF’s significance in updating financial systems, citing Solana’s 99.9% uptime and $5 billion in DeFi total value locked.
As the sector develops, experts expect more innovation in staking-focused ETFs. Mercer Park’s acquisition of Cube Group and its plan to build a $500 million Solana treasury for yield generation were reported by
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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