The US is About to Get its First Solana Staking ETF This Week

The REX-Osprey Solana Staking ETF will be launched on July 2 under the ticker SSK as the first US ETF allowing investors to earn rewards by staking Solana tokens to validate blockchain transactions. The new yield-chasing crypto fund tracking Solana has been cleared for debut, according to Bloomberg, citing a person familiar with the matter. Bloomberg’s ETF analyst Eric Balchunas explained that the fund has circumvented regulatory hurdles by investing 40% of its holdings in other Solana exchange-traded products. Solana Staking by Proxy The REX-Osprey product faced regulatory hurdles with the SEC, which initially objected after clearing an initial registration. The primary issue was whether the ETF qualified as an “investment company” under federal law. However, the issuers agreed to a compromise by investing at least 40% of assets in other ETFs, mostly domiciled outside the US. The lineup includes ETPs, which are typically classified as securities, that track Solana and staked Solana . “The move to allow ETFs that offer staking yield is a further step in the marriage we are seeing between public markets and the crypto economy,” Strahinja Savic, head of data and analytics at FRNT Financial, told Bloomberg. He added that it was another example of how the Trump Administration is “opening the door for crypto to become an integrated part of the US economy via public markets,” rather than a “pariah asset class” that was difficult for traditional investors to access. The launch follows other Solana ETFs like the Volatility Shares Solana ETF (SOLZ) and its leveraged fund, SOLT, which track futures and offer leveraged exposure. “Crypto ETF summer kicks off,” said ETF Store President Nate Geraci. SOL Price Reaction Solana prices jumped 5.3% in reaction to the news, climbing from an intraday low of $150 to top $158 in a matter of minutes. However, the momentum could not be maintained, and the asset retreated to $153 in the hours that followed. SOL has had a solid week with a 7% gain since the same time last week, as crypto markets and altcoins have shown recovery signs. Nevertheless, SOL has tanked almost 50% from its January all-time high, which was driven by the memecoin frenzy, the primary use for the blockchain. The post The US is About to Get its First Solana Staking ETF This Week appeared first on CryptoPotato .