The first U.S Solana spot ETF, Bitwise Solana ETF, has seen its net inflows surge to $69.45 million on its first day, beating out other altcoin ETFs which saw no inflows.
- The Bitwise Solana ETF (BSOL) made a strong market debut with $69.45 million in first-day inflows, pushing its total assets to $288.92 million and signaling rising investor demand for Solana-based investment products.
- Grayscale and Canary are preparing to launch their own Solana ETFs, as analysts predict the new class of staking-enabled funds could attract $3–6 billion in inflows.
According to data from SoSoValue, Bitwise’s first Solana ETF has entered the market with a splash. So far, the exchange-traded fund has accumulated a daily total net inflow which has reached $69.45 million, as it nears $70 million on its market debut.
The surge in net inflows have boosted the fund’s total net assets to $288.92 million, which represents only around 0.01% of the SOL (SOL) market value. At press time, Solana’s market cap has dropped slightly by 2.8% to $107.4 billion.
The fund has seen its total value traded reach $57.91 million since its launch on the market. During the fund’s first 30 minutes on the stock exchange, it had generated a trading volume of $10 million.
Compared to the two other crypto ETFs that launched on the same day, which are Canary Litecoin ETF and Canary HBAR ETF, Bitwise Solana ETF is the only one that has seen a wave of inflows. On trading day, Canary Litecoin ETF and Canary HBAR ETF reportedly did not record net inflows or outflows.
The Bitwise Solana Staking ETF is designed to track both the price of SOL as well as the staking rewards generated by the network. The product is fully backed by SOL tokens held in institutional cold storage and benchmarked to the Compass Solana Total Return Monthly Index, net of fees and expenses.
The Bitwise-issued fund grants investors a chance to earn blockchain-native yields without having to hold private keys or interact with staking infrastructure. Its management fee, which is set at 0.20%, is comparatively lower compared to Bitcoin (BTC) and Ethereum (ETH) ETFs which range from 0.21% to 0.25%.
On Oct. 27, the exchange-traded fund received approval from the New York Stock Exchange to list on the market after fulfilling all the necessary requirements. Exactly one month prior, Bitwise filed its Form 8-A to launch the first Solana-backed ETF with the US Securities and Exchange Commission.
Bitwise Solana ETF marks the start for Solana ETFs
Bitwise Solana ETF or BSOL’s strong debut on the market could signal robust investor appetite for Solana-based investment products. Having generated significant inflows on the first day, the launch could set a positive precedent for other Solana ETFs preparing to enter the U.S market.
Only a day after Bitwise Solana ETF’s launch, Grayscale’s Solana Trust ETF is scheduled to make its debut on the New York Stock Exchange Arca, becoming the second Solana ETF to launch on the market this week. Similar to BSOL, Grayscale’s Solana Trust ETF will provide investors with direct investment opportunities in Solana, including potential staking rewards.
On the other hand, other firms are gearing up to release their own Solana ETF products after Bitwise Solana ETF. On Oct. 29, Canary has submitted an updated version of its S-1 application for the spot Solana ETF, with the fee rate set at 0.50%. After launching its HBAR ETF and Litecoin ETFs, the firm appears to be preparing for a Solana ETF debut.
Earlier this week, Chief Analyst of Bitget, Ryan Lee, predicts that Solana staking ETFs could bring in $3 billion to $6 billion in new inflows within its first year. He noted that the fund’s 5% staking yield offers investors an added source of passive income, a feature that could boost institutional interest in Solana.
Not only that, he also stated that the boom in Solana ETFs could potentially open the door for larger capital flows into the broader altcoin market beyond conventional ETF offerings.
