BTCC / BTCC Square / D3C3ntr4l /
Solana Staking ETF Approval on the Horizon? Mid-October Could Be the Game-Changer (2025 Update)

Solana Staking ETF Approval on the Horizon? Mid-October Could Be the Game-Changer (2025 Update)

Author:
D3C3ntr4l
Published:
2025-09-28 13:39:02
19
3


The crypto world is buzzing with anticipation as solana inches closer to a potential landmark moment—the approval of a staking-enabled ETF by mid-October 2025. Analysts like Nate Geraci of ETF Store suggest the SEC’s streamlined approval process and overwhelming institutional interest (think Fidelity, Grayscale, and VanEck) signal a green light. With REX-Osprey’s Solana Staking ETF ($SSK) already pulling in $16.2M in net inflows and Bitwise’s European ETP attracting $60M in five days, the stage is set for Solana to shed its "niche altcoin" label. But will regulators embrace staking mechanics? Here’s why October might just be Solana’s month.

Why Is Mid-October 2025 the Make-or-Break Moment for Solana ETFs?

The SEC’s July 2025 rule overhaul slashed ETF approval timelines from 270 days to 75, creating a domino effect. Asset managers rushed to file, with Canary Capital alone submitting "over a dozen" applications. Data from CoinMarketCap shows Solana’s ecosystem—already praised for its speed and low fees—gained 42% institutional traction year-to-date. "The framework is ready," says Bitwise’s Teddy Fusaro, noting the SEC’s alignment with asset managers’ expectations. A mid-October decision would mirror bitcoin ETF precedents, but with a twist: staking rewards could supercharge investor returns.

Staking in ETFs: Solana’s Secret Weapon or Regulatory Hurdle?

Solana staking mechanics diagram

Unlike traditional ETFs, Solana’s staking feature lets investors earn yield (currently ~5.2% APY via BTCC’s validator nodes) while holding the asset. Markus Thielen of 10x Research calls this "the holy grail"—combining price appreciation with passive income. But the SEC remains cautious. Ethereum’s staking ETF proposals have languished for months. If Solana breaks the deadlock, it could trigger a "flippening" in institutional portfolios. Case in point: REX-Osprey’s ETF saw $33M volume on its Cboe debut, proving demand isn’t theoretical.

Who’s Betting Big on Solana’s ETF Future?

Institutional crypto investments chart

Franklin Templeton and Fidelity aren’t alone. Pantera Capital’s Q3 2025 report positions Solana as "the next institutional gateway," citing its 65K TPS capacity—20x Ethereum’s post-Merge throughput. Even CoinShares, traditionally Bitcoin-focused, allocated 15% of its $2.1B crypto fund to SOL. "It’s about optionality," says BTCC analyst Liam Cruz. "With Bitcoin ETFs saturated, institutions want exposure to high-throughput chains." TradingView charts show SOL/BTC outperforming by 18% since August, a trend that could accelerate with ETF approval.

The Ripple Effect: What Approval Means for Crypto Markets

Beyond price pumps (SOL surged 27% in September 2025 alone), staking ETFs could reshape crypto economics. Imagine pension funds earning yield via SEC-regulated products—that’s the endgame. "Solana’s deflationary burn mechanism pairs perfectly with staking," notes VanEck’s digital assets team. But skeptics warn of centralization risks: the top 5 validators control 34% of staked SOL. Still, with Cboe and BTCC already listing SOL derivatives, the infrastructure is battle-tested.

FAQs: Your Solana ETF Cheat Sheet

When exactly could the Solana ETF be approved?

The SEC’s 75-day window points to October 10–20, 2025, based on filings from Bitwise and VanEck in late July.

How does staking work in an ETF?

Funds delegate SOL to validators (like BTCC’s nodes), passing ~85% of rewards to shareholders after fees—similar to REIT dividends.

Why is Solana ahead of Ethereum here?

Simpler consensus mechanics (PoS without sharding) and clearer regulatory positioning give SOL an edge, per 10x Research.

|Square

Get the BTCC app to start your crypto journey

Get started today Scan to join our 100M+ users