Solana’s On-Chain Inflows Surge as ETP and ETF Demand Skyrockets

Solana's blockchain is witnessing unprecedented capital movement as institutional products gain traction.

ETP and ETF Momentum Builds

Investment vehicles tracking Solana are pulling in massive inflows—traditional finance finally playing catch-up with crypto-native demand. The surge reflects growing institutional confidence despite regulatory hurdles that would make a compliance officer's head spin.

On-Chain Activity Peaks

Network metrics hit new highs as capital floods the ecosystem. Validators are running hot processing transactions while DeFi protocols soak up liquidity like digital sponges.

Wall Street's late arrival to the crypto party—always fashionably tardy but never empty-handed when there's profit to be made.

Solana expanded to all DeFi sectors

Solana’s total value locked grows daily to over $12.76B. Some of it is based on the growth of SOL, in addition to inflows of valuable tokens. Solana was also the chain with the biggest inflow of stablecoins, with $255M added in the past day, based on Artemis data.

The Solana ecosystem is currently growing based on several factors. Meme space is booming, as Cryptopolitan reported earlier, with increased demand for lending. Liquid staking tokens are also adding to the growth, based on the expansion of Solana treasury companies. 

The recent growth is part of Solana’s drive to become the everything chain, hosting traditional finance, RWA, tokenized stocks, and its native tokens and platforms. 

Solana digital asset products mark record day

Solana’s digital asset products are still relatively new compared to BTC and ETH. However, last Friday, existing ETFs and ETPs saw their biggest daily inflow. 

Based on CoinShares research, $145M flowed into Solana products, with a total of $198M for the whole week. So far, Solana-based products have absorbed $4.1B, following 14 consecutive weeks of inflows. 

Recently, Solana has shown multiple favorable factors, especially its economic activity based on app revenues. Additionally, Solana has already completed most of its significant cliff unlocks, with no risk of selling pressure. Instead, more SOL is absorbed by whales for treasuries or liquid staking. 

SOL is closely watched for breaking above the $250 level, which sets expectations of a new rally to all-time highs and eventually a period of price discovery. Based on the liquidation heatmap, SOL has accumulated short positions above $250, suggesting a short squeeze may boost the price action. 

Short-term price drops also result in buying, as traders have set up buy walls to absorb any tokens at a lower price.

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