Solana Smashes Records: First Spot Staking ETF Debuts with $33M Trading Frenzy

Solana just rewrote the rulebook—again. The network's first spot staking ETF exploded onto the scene with a jaw-dropping $33 million in day-one volume. Traders piled in like it was a free NFT drop.

Why the frenzy? Staking meets ETFs—a combo so lucrative even Wall Street's algo-traders are sweating. Solana's 8%+ yields now wrapped in a tradable package? That's not innovation—that's a middle finger to traditional finance's 0.5% 'high-yield' savings accounts.

But here's the kicker: this ETF bypasses custodial risks by leveraging Solana's native staking mechanics. No intermediaries, no IOUs—just pure proof-of-stake rewards sliced into SEC-friendly securities. Ironic, considering the same regulators still call crypto 'too risky.'

One cynical footnote: $33 million is chump change for Bitcoin ETFs, but for Solana? Another step toward flipping ETH—and maybe, just maybe, making bond traders obsolete.

The REX-Osprey Solana + Staking ETF reached about $1 million in AUM on Wednesday

The solana staking ETF also wrapped up its debut day with about $1 million worth of assets under management. Balchunas believes the ETF could soon manage $10 million in assets on its second trading day, given its current trading volume. 

The ETF differs quite from others, which are still awaiting the US Securities and Exchange Commission’s approval.

The commission registered the REX-Osprey Solana + Staking ETF under the Investment Company Act of 1940—an investor-focused framework with stricter regulations. That means the fund must hold its assets with a qualified and trusted custodian. The ETF’s founders selected Anchorage Digital for the role, seeing that it’s the sole federally regulated crypto bank authorized to handle both custody and staking of digital assets.

Anchorage CEO Nathan McCauley commented on the ETF’s launch, describing staking as the next evolution in the crypto ETF space and calling the fund’s debut a significant step toward offering institutions secure and regulated crypto access.

The SEC announced that Grayscale’s ETF conversion plans are still under review

On Tuesday, Grayscale also earned the SEC’s approval to change its Digital Large-Cap Fund into an ETF. The fund includes the top five cryptocurrencies by market cap: Bitcoin, Ether, Solana, XRP, and Cardano’s ADA.

Arbitrage traders once profited by exploiting gaps in market prices and NAV in Grayscale’s crypto trusts, mostly fueled by restricted redemptions and mandatory lock-up periods. However, with the firm moving to convert its private trusts into ETFs, those opportunities have significantly narrowed.

Grayscale even explained that moving forward, it wants the values of the shares to reflect the value of the digital assets held by the fund. 

The SEC, however, is still reviewing the firm’s ETF conversion plans. On Wednesday, in a letter to the New York Stock Exchange, the agency’s deputy secretary announced that the commission WOULD reexamine the approval for Grayscale’s ETF conversion, signaling continued hesitation to loosen its approach to crypto ETFs.

In June 2022, the firm also faced trouble when it tried to convert the BTC Trust into an ETF. It filed a petition in court after the agency rejected its application.

The legal battle stretched over a year until August 2023, when a US judge ruled that the SEC’s rejection of the conversion was “arbitrary and capricious,” ultimately granting Grayscale’s petition. Grayscale’s Bitcoin Trust operates as an ETF with a 1.5% expense ratio—the highest among Bitcoin ETFs—and remains the top-earning BTC investment product.

Cryptopolitan Academy: Want to grow your money in 2025? Learn how to do it with DeFi in our upcoming webclass. Save Your Spot