- Grayscale, Fidelity, and others filed updated Solana ETF applications with on-chain staking features included.
- SEC approval may come within two weeks due to recent regulatory changes streamlining the ETF review process.
- Investor demand for Solana products is growing, with major inflows into U.S. and European Solana-based funds.
Several major asset managers have filed amended S-1 forms for Solana exchange-traded funds (ETFs), now including on-chain staking features. The updates were submitted to the U.S. Securities and Exchange Commission (SEC) and may receive approval in early October. The filings come amid rising institutional interest in Solana-based products and recent regulatory changes affecting digital asset ETFs.
Major Filers Include Staking Features in New Submissions
Grayscale, Fidelity, Bitwise, VanEck, CoinShares, Franklin, and Canary have all submitted updated applications to the SEC. Each amendment includes provisions that enable staking, allowing funds to earn rewards directly from Solana’s proof-of-stake network.
These rewards could be issued either in SOL tokens or cash, depending on how the funds are structured. ETF analyst Nate Geraci said that approval may occur within two weeks. The projection follows recent adjustments at the SEC that streamline review processes for crypto-related investment products.
Funds to Direct Rewards Into NAV Growth
Staking rewards earned by the ETFs will be treated as income and factored into the net asset value (NAV) of the fund. This model provides investors exposure to Solana’s market performance, while also generating potential yield from network participation.
Grayscale, Bitwise, and Canary confirmed that staked SOL will be held in designated accounts. The structure allows returns from staking to flow back to shareholders. This approach follows the model seen in Bitwise’s European Solana ETF, which attracted $60 million in inflows over a single week.
Recent Regulatory Changes May Speed Up Approval
The updated filings follow regulatory adjustments made earlier in September. The SEC approved a shift in how Grayscale’s ETH products were listed, moving them to a standardized framework. That change allows similar digital asset products to bypass some custom review procedures, possibly accelerating approval timelines for future ETFs.
Analyst James Seyffart noted the wave of coordinated filings, which arrived shortly after those regulatory updates. As a result, several Solana ETF proposals are now positioned for potential approval within the coming weeks. The filing activity comes during a rise in demand for Solana investment vehicles.
In the U.S., the REX-Osprey SOL + Staking ETF (SSK) saw $10.6 million in one-day inflows. The fund reached $250 million in assets under management within two months. REX-Osprey recently changed its fund structure from a C-Corporation to a regulated investment company, removing taxes at the fund level. Grayscale also reported $22 million in first-day volume for its diversified Crypto 5 ETF, which includes Solana.
