by Coinstrooper Crypto Articles
Quick Take
  • The move intensifies competition in the nascent Solana ETF market, where Bitwise’s debut product already captured $69.5 million in first-day inflows.
  • GSOL now joins Bitwise’s BSOL and Rex-Osprey’s SSK as the third Solana ETF trading on U.S.
  • GSOL carries a 0.35% expense ratio and holds 525,387 SOL tokens, with 74.89% currently staked to generate network rewards.
  • The fund first launched as a private trust in 2021, was listed on OTCQX in 2023, and began staking in October 2025.

What Happened

Grayscale Investments launched its Solana Trust ETF on NYSE Arca on Tuesday, becoming the first of the firm’s staking products to uplist under new SEC-approved generic listing standards.

The launch expands Grayscale’s digital asset lineup beyond Bitcoin and Ethereum, offering investors exposure to Solana’s proof-of-stake blockchain through a familiar exchange-traded wrapper.

Grayscale Enters With Staking-Enabled Structure

Grayscale intends to pass on 77% of all staking rewards to investors on a net basis, potentially adding 5-6% annual returns based on historical Solana staking yields of 6-8%.

The fund first launched as a private trust in 2021, was listed on OTCQX in 2023, and began staking in October 2025.

Inkoo Kang, Senior Vice President of ETFs at Grayscale, framed the launch as evidence that digital assets belong in “modern portfolios” alongside traditional equities and bonds.

Kristin Smith, President of Solana Policy Institute, also noted that staking ETPs allows investors “to help secure the network, accelerate innovation for developers, and earn rewards on one of the most dynamic assets in modern finance.”

The product is not registered under the Investment Company Act of 1940, meaning it lacks the regulatory protections of traditional ETFs and mutual funds.

BSOL stakes 100% of its held SOL tokens in-house to deliver Solana’s full network yield to investors, charging a 0.20% management fee that has been waived for the first three months.

Matt Hougan, Bitwise’s Chief Investment Officer, attributed institutional enthusiasm to Solana’s on-chain revenue leadership.

“Institutional investors love ETFs, and they love revenue,” he said.

Speaking with Cryptonews, Maria Carola, CEO of StealthEX, views the Solana ETF launch as a defining moment in the battle for Layer 1 blockchain dominance.

“The launch of a spot ETF on Solana is a signal that has broken out in the protracted battle for dominance in the Layer 1 blockchain space,” she said.

“For the first time, institutional investors are being invited to consider Solana as a standalone macro asset.“

Market Context

The move intensifies competition in the nascent Solana ETF market, where Bitwise’s debut product already captured $69.5 million in first-day inflows.

GSOL now joins Bitwise’s BSOL and Rex-Osprey’s SSK as the third Solana ETF trading on U.S. exchanges.

Bitwise’s Solana ETF captured $69.5 million on its October 28 debut, nearly six times the $12 million raised by Rex-Osprey’s competing product.

Rex-Osprey’s SSK takes a different approach, holding 54% in direct Solana, 43.5% in a Swiss-listed CoinShares ETP, and the remainder in JitoSOL and cash, with monthly staking rewards classified as return of capital for tax purposes.

Despite positive sentiment around ETFs, the market remains cautious about near-term price action.

Traders on Polymarket give Solana just a 28% chance of reaching a new all-time high before 2026, with SOL trading at $200 today, up nearly 1% over 24 hours.

Solana Challenges Ethereum’s Institutional Dominance

Why It Matters

Grayscale emphasized that GSOL represents indirect exposure to Solana and carries significant risks, including the potential loss of principal.

Details

GSOL carries a 0.35% expense ratio and holds 525,387 SOL tokens, with 74.89% currently staked to generate network rewards.

Bitwise Dominates Early Solana ETF Flows