New Solana-based exchange-traded funds are breaking initial trading volume records, signaling surging institutional demand for crypto investment products, especially those offering staking rewards.
The Bitwise Solana Staking ETF (BSOL), the first U.S. exchange-traded product with direct exposure to the Solana token (SOL), has achieved a historic debut. On its second day of trading, BSOL recorded a volume of $72.4 million, following an already robust $56 million on its launch day.
According to Bloomberg analyst Eric Balchunas, BSOL’s initial trading volume was the highest among nearly 850 ETF launches this year. The fund’s sustained momentum, with an increased volume on its second day, is notable given that most new ETFs typically lose steam after their first day.
“$72 million is a huge figure. It’s a good sign,” Balchunas commented, highlighting BSOL’s exceptional performance. In contrast, other new crypto funds, such as the Canary Litecoin ETF and Canary HBARETF, maintained lower, steady volumes around $8 million and $1 million, respectively.
BSOL attracted $69.5 million in inflows on its first day, pushing its total assets to almost $292 million. This rapid growth suggests institutional investors are actively seeking new avenues for Solana exposure. A key differentiator for BSOL is its structure, which allows investors to gain direct exposure to SOL’s performance, including staking rewards from the network.
In a competitive move, Grayscale Investments launched its own Grayscale Solana Staking ETF (GSOL) the day after BSOL’s debut. GSOL, a conversion of a closed-end fund Grayscale had operated for four years, registered approximately $4 million in its first day of trading.
Balchunas described GSOL’s launch as “a healthy launch, though clearly below BSOL.” Its timing, following closely on the heels of Bitwise’s record-setter, presented an immediate challenge for attracting attention and volume.
The interest in crypto-linked financial products continues to expand. Bloomberg data indicates more than 150 proposed exchange-traded products (ETPs) currently track 35 different digital assets. Bitcoin (BTC) and Solana (SOL) remain the most popular choices, with XRP and Ethereum (ETH) also attracting significant proposals.
Another Solana ETF, the REX Osprey SOL Staking ETF (SSK), also entered the market this week, achieving approximately $18 million in volume. The simultaneous launches underscore the growing activity within the Solana-based ETF ecosystem.
This market enthusiasm coincides with recent regulatory developments. Following a temporary U.S. government closure in October, the Securities and Exchange Commission (SEC) issued new guidance. This guidance simplifies registration processes, allowing companies to file a form S-1 without a “delay amendment,” which could lead to automatic approval for new ETF offerings after 20 days.
As BSOL sets new benchmarks, the industry is closely watching the evolving competition among Solana ETF issuers. Analysts interpret the sustained investor interest as a signal that demand for blockchain-linked investment products is entering a new, more mature stage.