Solana ETF Soars $100M as Wall Street Embraces Crypto Staking Boom
Solana Staking ETF Surpasses $100 Million in Assets, Paving the Way for Institutional Investment
SSK ETF Achieves Significant Milestone
The Solana staking exchange-traded fund (ETF), known as SSK and launched by REX-Osprey on July 2, has successfully crossed the $100 million mark in assets under management (AUM). This fund is notable for being the first ETF listed in the United States that offers direct exposure to spot Solana (SOL) while also providing on-chain staking rewards.
Unique Regulatory Structure Benefits Investors
Unlike the majority of cryptocurrency ETFs that fall under the Securities Act of 1933—which prohibits the distribution of staking rewards—SSK is registered under the Investment Company Act of 1940. This regulatory framework allows the fund to distribute staking income akin to dividends, making it an attractive option for investors looking for yield rather than merely speculating on price fluctuations.
Growing Demand for Blockchain Investment Products
Greg King, the founder and CEO of REX-Osprey, highlighted that the rapid growth of SSK reflects a strong demand from investors for blockchain-based investment solutions presented in familiar formats. He stated that SSK is “opening the door for mainstream investors to access the power of Solana staking through the familiar ETF wrapper.”
SOL Performance and Future Plans
As of today, SOL is trading above $200 per coin and has seen a remarkable increase of 25.3% over the past week, according to Coingecko data. In an interview with Cointelegraph, King expressed REX-Osprey’s intention to broaden its ETF offerings to cater to client needs. The company has already filed for similarly structured ETFs focused on XRP, DOGE, and ETH, with plans to explore additional cryptocurrencies.
Institutional Interest in Staking Income Grows
SSK’s emergence is part of a larger trend where institutional investors are increasingly considering staking-based returns as a viable alternative or complement to traditional fixed-income investments. With global interest rates stabilizing and bitcoin price growth slowing, asset managers are turning to crypto yield strategies to enhance returns.
Broader Market Trends and Regulatory Landscape
In addition to SSK, other platforms that offer ethereum staking and tokenized U.S. Treasury products have experienced consistent inflows from institutional investors. Although staking ETFs face regulatory challenges, the successful launch of SSK could set a precedent for future funds.
On June 13, Fidelity submitted an S-1 registration to the U.S. Securities and Exchange Commission (SEC) for a spot Solana ETF, joining a growing list of asset managers, including 21Shares, Franklin Templeton, Grayscale, Bitwise, and Canary Capital, who are also pursuing staking-related products.
Currently, there are no ETFs for ethereum that provide on-chain staking, but this could change as the SEC offers clearer guidance and fund issuers identify compliant structures within existing regulatory frameworks.
