Canary Capital Nears SEC Approval for Solana and XRP ETFs in 2025: Lower Fees and Staking Rewards in Focus
- What’s New in Canary Capital’s ETF Filings?
- Why the SEC’s Shifting Stance Matters
- How Do Canary’s ETFs Compare to Competitors?
- What’s Next for Crypto ETF Adoption?
- FAQs: Solana and XRP ETFs Explained
In a significant development for crypto investors, Canary Capital is making strides toward SEC approval for its solana (SOL) and XRP exchange-traded funds (ETFs). The firm recently updated its filings, slashing fees to 0.50% for both products while maintaining staking rewards—a move that could reshape crypto investment accessibility. With the SEC adopting clearer approval standards under its new crypto-friendly leadership, analysts speculate these ETFs might bypass traditional lengthy processes. Here’s why this matters for both retail and institutional investors.
What’s New in Canary Capital’s ETF Filings?
Canary Capital’s updated filings reveal two key changes: reduced fees and preserved staking benefits. The proposed Canary Marinade SOL ETF (with staking support) and Canary XRP ETF now carry a 0.50% fee, down sharply from the 0.95% initially set for its HBAR and Litecoin ETFs. According to Bloomberg’s ETF analyst Eric Balchunas, "Amendment No. 6 for the Solana ETF keeps staking premiums intact while offering a lower cost structure." This positions the funds as competitive options for investors seeking exposure to SOL or XRP through traditional brokerage accounts.
Why the SEC’s Shifting Stance Matters
The SEC’s recent pivot toward crypto-friendly policies has accelerated ETF approvals. By streamlining the historically cumbersome 19b-4 process, the agency could greenlight multiple crypto ETFs—including those tracking dogecoin (DOGE) and Litecoin (LTC)—sooner than expected. While a temporary U.S. government shutdown caused delays, market observers anticipate resumed evaluations, potentially bundling single-asset ETFs like SOL and LTC for simultaneous review.
How Do Canary’s ETFs Compare to Competitors?
Canary’s 0.50% fee undercuts many existing crypto ETFs, aligning closer to mainstream equity ETF costs. For context, Grayscale’s bitcoin Trust charges 1.5%, while Ark Invest’s spot Bitcoin ETF sits at 0.21%. The staking feature—unique to the SOL ETF—could further differentiate it, offering yield generation absent in passive Bitcoin products. As one BTCC analyst noted, "Lower fees plus staking create a dual appeal: cost efficiency and compounding potential."
| ETF | Fee | Staking |
|---|---|---|
| Canary SOL ETF | 0.50% | Yes |
| Canary XRP ETF | 0.50% | No |
| Grayscale Bitcoin Trust | 1.50% | No |
What’s Next for Crypto ETF Adoption?
Approval of SOL and XRP ETFs would mark another milestone in bridging crypto with traditional finance. Institutional interest in Solana has grown since its 2023 rally, while XRP’s regulatory clarity post-SEC lawsuit makes it a lower-risk bet. However, as always in crypto, timing is speculative. Sources suggest the SEC’s current focus remains on finalizing registration statements rather than setting rigid deadlines.
FAQs: Solana and XRP ETFs Explained
What makes Canary’s SOL ETF unique?
It’s the first U.S. ETF to combine Solana exposure with staking rewards, allowing investors to earn yield passively.
How does the 0.50% fee compare to crypto mutual funds?
It’s significantly cheaper—many active crypto funds charge 2% or more annually.
Could the SEC reject these ETFs?
While possible, the agency’s recent approvals of Bitcoin and ethereum ETFs suggest a warmer stance toward altcoin products.
