$BSOL Launch Shakes Wall Street: First SEC-Approved Solana Staking ETF

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$BSOL Launch Shakes Wall Street: First SEC-Approved Solana Staking ETF

Key Takeaways:

  • Bitwise Asset Management launches $BSOL, the first-ever SEC-approved Solana Staking ETF in the U.S., offering investors 100% spot exposure to Solana (SOL).
  • The ETF enables on-chain staking through Helius Labs, targeting an average 7%+ annual reward rate with full transparency and institutional-grade custody.
  • 0% management fee for the first three months or up to $1 billion in assets, then only 0.20%, a bold move signaling Bitwise’s aggressive strategy to capture institutional demand.

The crypto and Wall Street worlds have just crashed in a big manner. The Solana ETF, recently approved by Bitwise, represents the first regulated yield generating access point to the world of traditional finance and the blockchain innovation, allowing investors to open the door to what is likely the most rapidly expanding crypto ecosystem on Earth.

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Solana Meets Wall Street: A Defining Moment for Crypto Integration

The first Solana-based exchange-traded fund (ETF) was approved by the U.S. Securities and Exchange Commission (SEC), which is a breakthrough in the history of digital-assets.

The BSOL Solana Staking ETF by Bitwise is now going to start trading and it ushers in a new age of regulated crypto exposure as an institutional and retail investor.

This achievement comes after a wave of mainstream coverage of Solana – the blockchain with the fastest transactions, less than a second finality, and flourishing developer growth. In contrast to first-generation crypto products, which were pegged to futures or derivatives, BSOL provides direct spot to SOL exposure as it stakes all assets on-chain.

This ETF uses the help of Bitwise Onchain Solutions, which is led by a validator infrastructure provider, Helius Labs, to stake tokens straight to the Solana network. In this way, the fund can afford to earn the staking rewards of Solana, which are now more than 7 percent on average annually with full liquidity and transparency.

Having institutional custody partners and a framework based on conventional ETFs, BSOL makes sure that compliance, risk management and smooth integration into the brokerage platforms are ensured. Concisely, it will make Solana a Wall Street-ready asset class.

Read More: Solana Price Prediction 2025–2050: 500% Gains by 2050 – Is It Worth Investing?

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Inside $BSOL: How the World’s First Solana Staking ETF Works

Full Spot Exposure and Active Staking

BSOL holds zero synthetic instruments and derivatives in Solana but only invests exclusively in its native currency, SOL. The fund actively manages all tokens that are owned by it, implying that investors will take part in the validation and reward system of the network indirectly.

In contrast to passive crypto ETFs, which follow the prices only, BSOL adds an income-generating feature, staking yield. Bitwise says this yield goes back into the value of the fund and increases returns without investors having to stake themselves or run validator nodes.

The model is an attempt to bring crypto-native returns into the context of a regulated and exchange listed product offering convenience and access to new frontiers of traditional finance.

Read More: Circle Mints $250 Million in USDC on Solana – a Major Boost for DeFi Liquidity

Zero Fees to Start, Then Just 0.20%

As a competitor action, Bitwise declared the total withdrawal of fees during the initial 3 months or until the fund manages $1 billion in assets. Subsequently, the cost ratio will be 0.20%, which is among the lowest cost ratios of digital-asset ETFs.

The rationality of this pricing approach is that initial Bitcoin ETFs were able to draw in vast inflows due to their almost zero cost during start up stages. Analysts reckon that BSOL will probably take a comparable route, rapidly bringing on board institutional capital in search of yield and a regulated crypto exposure.

Institutional Custody and On-Chain Transparency

BSOL is based on the model of cold-storage and multi-signature custody which guarantees the highest level of security of SOL holdings. Staking is implemented on Helius Labs, a reputable validator infrastructure network group focusing on high-performance Solana nodes.

The ETF uses in-kind creation and redemption, the authorized participants can directly use SOL to retrieve ETF shares, which alleviates friction and reduces tracking error and is also suitable to the current best practices in crypto ETF design.

Solana has emerged as one of the most promising blockchains for scalability and cost-efficiency. Processing more than 65,000 transactions per second with fees as low as $0.00025, Solana continues to outperform legacy blockchains in both speed and user adoption.

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